NVIDIA plans $500 billion financial backing for OpenAI's major AI data center infrastructure expansion project and hub development.

Nvidia and OpenAI are in advanced discussions on a financing arrangement that could reshape how AI infrastructure projects are funded. According to the Wall Street Journal, Nvidia is considering roughly $250 billion in financing guarantees to support OpenAI's leasing of a proposed 10-gigawatt AI campus in southern Ohio, developed by SoftBank's energy division.

The Ohio facility is expected to cost more than $500 billion in total. The Nvidia financing guarantee would cover OpenAI's leasing and borrowing for the project rather than AI chip purchases. Separately, Nvidia is reportedly discussing approximately $350 billion in financial support for OpenAI's AI chip acquisition. Nvidia, OpenAI, and the U.S. Commerce Department declined to comment on the arrangement.

The proposed campus aligns with OpenAI's broader strategy to develop computing infrastructure independent of major cloud providers including Microsoft, Amazon, and Oracle. The first phase is expected to generate about 800 megawatts by 2028, with the facility eventually reaching its full planned capacity of 10 gigawatts.

Industry analysts have highlighted that computing infrastructure limitations are becoming a critical constraint on AI expansion, with acute shortages in both advanced processors and electricity capacity. The Nvidia-backed financing framework could strengthen lenders' confidence in the project while securing future demand for Nvidia's chips.

The deal discussions come as global competition for AI infrastructure intensifies. Power allocation for the Ohio facility depends partly on a separate financing agreement tied to Japan's $33 billion investment in natural gas, underscoring the interconnected nature of energy and computing infrastructure development.

If finalized, the arrangement would establish a new model for how AI companies finance infrastructure projects, reducing their reliance on traditional cloud service providers. The deal reflects broader trends in technology financing as global AI investment is expected to exceed $700 billion this year.