Tech giant Nvidia to finance up to $105B for construction of new data center in southern Ohio
Nvidia is set to finance up to $105 billion for the construction of the "PORTS Technology Campus" data center in Piketon, Pike County, Ohio, making it potentially the most expensive data center project globally. The facility, which will be leased to OpenAI by SB Energy, is expected to address concerns about electricity costs and water usage through grid upgrades and closed-loop cooling systems. The project, and data center expansion in Ohio generally, faces significant resident backlash and has become a key issue in upcoming gubernatorial and senatorial races.
Nvidia has announced a commitment of up to $105 billion to finance the construction of the "PORTS Technology Campus," a new data center being built in Piketon, Pike County, Ohio. This significant investment could potentially make it the most expensive data center project ever, with total costs estimated near $500 billion by its full completion in 2032. The facility will be overseen by SB Energy and is slated to be leased to OpenAI, the developer of ChatGPT.
OpenAI stated that the project will create 35,000 construction jobs over six years and aims to be an economic catalyst for southern Ohio. Nvidia CEO Jensen Huang emphasized the facility's role in powering the emerging AI economy. However, the project is proceeding amidst growing resident backlash against data center expansion across Ohio, particularly concerning potential increases in electricity costs and high water consumption. Ohio currently ranks seventh nationally for data center density.
To address these concerns, OpenAI and SB Energy have committed to covering the full cost of grid upgrades and new transmission lines, ensuring these expenses are not passed on to Ohio ratepayers. Additionally, the data center will utilize closed-loop, air-cooled cooling systems to recirculate water, significantly reducing water consumption compared to traditional cooling towers. The issue of data center development has become a prominent topic in Ohio's local Senate and gubernatorial races, with candidates like Republican Vivek Ramaswamy and incumbent Senator Jon Husted supporting regulated growth, while Democratic candidate Amy Acton and former Senator Sherrod Brown express skepticism and Acton calls for a "conditional moratorium" on new data center construction.