Nvidia is reportedly in discussions to provide approximately $250 billion in financial support to OpenAI, enabling the Sam Altman-led startup to lease a 10-gigawatt data center in southern Ohio, developed by SB Energy, a subsidiary of Japanese conglomerate SoftBank. This assistance would allow OpenAI to raise debt at more favorable terms due to Nvidia’s stronger financial position compared to the unprofitable company. Nvidia shares fell more than 4% on Monday as investors worry about circular deals within the AI buildout. Nvidia already invested $30 billion in OpenAI this year, fueling concerns about massive commitments to cash-burning companies that could find it increasingly difficult to raise additional funds.
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