OpenAI data center deal with Nvidia comes in $145 billion lower than reported—signaling concerns of artificial demand for chips

The $145 billion discrepancy in Nvidia's data center agreement with OpenAI highlights worries over artificial demand for chips in the AI sector. Nvidia is guaranteeing up to $105 billion for OpenAI’s planned data center campus in Ohio, significantly lower than the previously considered $250 billion guarantee. The final figure was disclosed in an SEC filing after the companies reached an agreement on Monday.

This reduction in Nvidia’s financial commitment has raised concerns among AI investors, pointing to a recurring cycle of money within the AI ecosystem. The Ohio data center, developed by SB Energy, could reach 8 gigawatts of computing capacity, with Nvidia investing $1.5 billion in the project. The concern arises from the potential for self-funding in the AI industry, with Nvidia using its chip sales to finance data center construction and maintenance.

The partnership has also extended to other companies, including Microsoft, Oracle, and Coreweave, creating a complex web of deals that rely on each other for growth and financing.