Nvidia to provide up to $105 billion guarantee for OpenAI’s Ohio data center

Nvidia has pledged to provide a guarantee of up to $105 billion to assist OpenAI in leasing a large-scale data center in Ohio, developed by a company owned by SoftBank. This is considered Nvidia’s largest infrastructure financing commitment to date. The company, led by Jensen Huang, also announced plans to invest $1.5 billion in SoftBank's subsidiary, SB Energy, following a prior $1 billion investment by OpenAI and SoftBank.

This latest deal is another instance of Nvidia financing infrastructure built around its chips, a strategy that fuels demand but has raised concerns about circular funding flows between the chipmaker and its customers. Recently, scrutiny of such funding intensified after Nvidia joined six major financial institutions in launching financing platforms targeting over $500 billion in third-party funding for AI infrastructure.

Huang clarified that this deal is not circular financing and that Nvidia is leveraging its scale and long-term vision to support OpenAI. The firm will be the exclusive chip provider for the facility in Pike County, Ohio, with a projected total capacity of up to 8 gigawatts, with the first 800 megawatts expected to come online in 2028.

OpenAI will lease the site for 20 years. The financing structure is still being determined and is expected to include equity, capital raised by a potential SB Energy IPO, and a debt portion that could involve project finance loans and potentially public debt like bonds. Nvidia's guarantee covers a portion of the lease, power payments, and a commitment to maintain the site's minimum value, rather than the full cost of the project or all of OpenAI's obligations.