Nvidia, OpenAI Pursue Record-Breaking Data Center Deal Worth Over Half a Trillion Dollars

Nvidia is reportedly in talks with OpenAI to provide a $250 billion financial guarantee for what could become the largest data center project announced in the US.

The proposed arrangement would support OpenAI's plans to lease a massive AI data center campus in southern Ohio being developed by SB Energy, which is backed by Japan's biggest company, SoftBank.

The project even carries a significant international component. As part of a recent US-Japan trade agreement, Japan has committed $33 billion to fund a natural gas power project that will supply electricity to the site.

Nvidia's proposed guarantee would help reassure lenders financing the project because OpenAI is currently an unprofitable private company and lacks an investment-grade credit rating. The guarantee would cover financing linked to the data center lease and construction debt, but not the Nvidia chips that will power the facility.