NVIDIA to lower investment in OpenAI's Ohio data center

NVIDIA has revised its financial backing plans for OpenAI's proposed data center in Ohio, now guaranteeing less than $120 billion initially, compared to the earlier $250 billion. This adjustment follows investor concerns about NVIDIA's risk exposure related to large financing commitments. The project is expected to be finalized soon, with NVIDIA likely providing financial support only for the first phase. The agreement could be signed as early as this weekend. NVIDIA recently partnered with six major financial institutions to launch compute financing platforms, aiming to raise over $500 billion in third-party capital for AI infrastructure. Meanwhile, OpenAI is still negotiating a binding lease for the full 10-gigawatt project in Ohio, developed by SB Energy, a SoftBank subsidiary. If completed, this would be the largest data center project ever announced, bringing OpenAI closer to owning its own AI infrastructure. However, questions persist about OpenAI's ability to fund such large-scale commitments, given its ongoing losses despite an $852 billion valuation.