Nvidia is providing financial backing for massive data center projects at an unprecedented scale, with roughly $600 billion in financing tied to OpenAI and SoftBank, including $250 billion guaranteed for a $500 billion campus in Ohio. This strategy dubbed « Cloudmaxxing » exposes the chipmaker to considerable risks at a time when competition is intensifying and major players like Google are increasing their capital expenditures. The company previously struck a $6.3 billion capacity backstop agreement with CoreWeave in September 2025, but the sums now at stake are significantly larger. Analysts are concerned that Nvidia may be jeopardizing its competitive advantages by acting as a financial guarantor rather than relying on product superiority.
Source: Read the original article
