Nvidia to invest $1.5B, provide up to $105B guarantee for OpenAI data center
Nvidia will provide financial guarantees of up to $105 billion for leases at a major artificial intelligence data center campus in Pike County, Ohio, where OpenAI will be the tenant and SB Energy the lessor. The chipmaker also announced a separate $1.5 billion direct equity investment in SB Energy. These agreements are intended to secure the necessary land, power, and data center infrastructure for Nvidia's AI computing systems.
Nvidia has committed to providing financial guarantees of up to $105 billion for leases associated with a significant artificial intelligence data center campus in Pike County, Ohio. This agreement, disclosed in a Form 8-K filing with the US Securities and Exchange Commission, involves residual-value guarantees to SB Energy for leases covering approximately 4.25 gigawatts of computing capacity at the PORTS Technology Campus.
OpenAI will serve as the tenant at the campus, while SB Energy acts as the lessor. Nvidia's payment obligations would activate if OpenAI becomes insolvent, defaults on a lease, or fails to make required payments, with the chipmaker potentially covering shortfalls, assuming the lease, or initiating a sale process. OpenAI, in turn, has agreed to indemnify Nvidia for any payments made under these guarantees.
Capacity at the campus is anticipated to begin coming online in 2028, with OpenAI deploying Nvidia's full-stack DSX AI factory platform. Separately, Nvidia announced a direct equity investment of $1.5 billion in SB Energy, joining existing investors SoftBank Group and OpenAI. This investment aims to secure the critical land, power, and data center infrastructure necessary to support the expansion of Nvidia's AI computing systems, addressing growing constraints in electricity and suitable site availability.