AI Infrastructure Partnership Enters New Phase! WSJ: NVIDIA to Provide $250 Billion Guarantee for OpenAI's Ohio Data Center

The Wall Street Journal (WSJ) reported on Sunday (26th), citing sources familiar with the matter, that AI chip giant NVIDIA is in discussions with OpenAI to provide a financing guarantee of approximately $250 billion for a massive data center project where the latter will lease computing capacity.

The project is being developed by an energy subsidiary of Japan's SoftBank Group in southern Ohio, USA, with a planned capacity of 10GW. Total investment, including chip procurement, could exceed $500 billion, potentially making it one of the largest AI infrastructure projects to date.

Sources revealed that NVIDIA's guarantee would cover data center lease agreements and construction debt, but not the NVIDIA chips themselves housed within the facility. Additionally, the two companies are also discussing a chip procurement financing deal of up to approximately $350 billion.

As a privately held, unprofitable company without an investment-grade credit rating, OpenAI benefits significantly from NVIDIA's backing, which would substantially reduce the bond issuance costs for developers like SoftBank, enabling OpenAI to secure long-term computing power through leasing agreements.

The report notes that the first phase of the Ohio data center project will provide around 800 terawatts of power, with operations targeted for 2028. The power supply will involve a public-private collaboration arrangement supported by U.S. government coordination and Japanese funding.

NVIDIA's move also dispels market rumors that the company has scaled back its multi-hundred-billion-dollar support for OpenAI due to the latter's IPO preparations. Instead, it shifts the strategy from direct equity investment (previously discussed at $100 billion, with $30 billion already invested in this round) to a 'guarantee + ecosystem lock-in' model, leveraging AI infrastructure with lower capital commitment while ensuring infrastructure orders continue to flow to its own products.

However, a $250 billion guarantee carries significant contingent liabilities. If the project's returns fall short of expectations, NVIDIA's financial exposure could expand. Final terms and the deal's closure remain uncertain.