Nvidia Weighs $250 Billion Backing For OpenAI Mega Data Center
Nvidia is reportedly in discussions to provide approximately $250 billion in financing guarantees to OpenAI for the construction of a massive AI data center in southern Ohio. This potential deal aims to help OpenAI establish its own AI infrastructure and reduce reliance on cloud providers. The project is estimated to cost over $500 billion, with the first phase expected to be completed by 2028.
Nvidia is reportedly considering providing financing guarantees of around $250 billion to OpenAI to support the development of a substantial artificial intelligence (AI) data center in the U.S. This would represent one of the most significant infrastructure investments in the AI sector.
The Wall Street Journal reported that the proposed financing would enable OpenAI to lease a 10-gigawatt data center campus being developed by SoftBank's energy subsidiary in southern Ohio. The total cost of the project, including Nvidia chips, is projected to exceed $500 billion. The $250 billion guarantee would cover the data center lease and debt financing, with separate discussions for up to $350 billion to finance OpenAI's chip purchases.
If the deal materializes, it would allow OpenAI to build and manage its AI infrastructure independently, lessening its dependence on major cloud providers like Microsoft, Amazon, and Oracle. For Nvidia, this arrangement would ensure long-term demand for its AI chips. The initial phase of the Ohio facility is anticipated to be operational by 2028, providing approximately 800 megawatts of power. The power supply for this project is reportedly controlled by the U.S. government and funded by Japan through a trade agreement related to a natural gas plant investment.