Nvidia Cuts Financial Guarantee for OpenAI Ohio Data Center

Nvidia has significantly scaled back its proposed financial guarantee for OpenAI's massive data center project in Ohio, reducing the commitment to less than $120 billion from an earlier proposal of approximately $250 billion. The revised terms, reported by multiple outlets, come as the chipmaker seeks to ease investor concerns over its financial exposure to the ambitious AI infrastructure buildout. A deal between Nvidia and OpenAI is expected to be finalized soon, potentially as early as this weekend.

The project, a 10-gigawatt data center campus in Pike County, Ohio, is being developed by SB Energy, a subsidiary of SoftBank. If completed, it would be among the largest data center developments ever announced, with a power capacity roughly equivalent to that of the entire state of Connecticut. The first phase is targeted to deliver about 800 megawatts by 2028, with the full scale requiring years of additional construction and power infrastructure.

Nvidia's role is not a direct cash investment but a financial backstop. The company would guarantee financing arranged by lenders for construction and lease obligations, helping OpenAI secure large amounts of debt. This structure...