Nvidia in talks to invest 3 billion dollars in SB Energy Ohio project part of OpenAI data center deal
Nvidia $NVDA is in talks to invest up to $3 billion in SB Energy, the SoftBank-backed builder of OpenAI's Ohio data center, per The Information. It's tied to Nvidia's talks to guarantee credit support for the project, revised down to under $120 billion from an earlier $250 billio
Nvidia $NVDA is in talks to invest as much as $3 billion in SB Energy, the SoftBank Group-backed developer building a massive data center campus in Ohio for OpenAI, according to reporting from The Information. The equity investment would reportedly be split in two: half committed once the Ohio deal is signed, and half tied to SB Energy's initial public offering, which the company is aiming to complete as soon as next month at a valuation that could raise at least $5 billion. The investment talks run alongside separate negotiations in which Nvidia is discussing guaranteeing credit support for the same Ohio project. The Wall Street Journal reported that Nvidia has scaled back those guarantee terms to less than $120 billion, down from the roughly $250 billion figure previously discussed. Founded in 2019, SB Energy has been expanding data center capacity to meet AI-driven demand for computing power. For Nvidia, the arrangement is another example of the chipmaker using its balance sheet, not just its hardware, to underwrite the infrastructure buildout that its own customers depend on to buy and deploy its chips. As these financing arrangements grow more common across the AI sector, they tie Nvidia's own financial exposure more closely to the success of the data center projects it supplies.