NVIDIA Backs OpenAI's Ohio Datacentre with $105B Guarantee

NVIDIA has agreed to provide a financial guarantee of up to US$105 billion (~RM426 billion) for OpenAI's new Ohio datacentre campus, a facility also being developed by SoftBank-owned SB Energy, marking one of the GPU maker's largest financing commitments to date. This agreement is designed to secure long-term infrastructure for NVIDIA's compute hardware while enabling OpenAI to deploy what NVIDIA CEO Jensen Huang describes as "the most productive AI factories." The guarantee covers a portion of lease and power payments, with OpenAI responsible for the datacentre rent, and NVIDIA stepping in to cover any gap if OpenAI defaults.

Key Facts

This section provides the core financial and operational specifications of the NVIDIA-OpenAI Ohio datacentre agreement as disclosed in the source material.

What Is the Structure of the NVIDIA-OpenAI Ohio Datacentre Deal?

The deal is structured as a guarantee from NVIDIA to cover a portion of the lease and power payments for the datacentre, while OpenAI is responsible for paying the rent. If OpenAI defaults on the rent, NVIDIA will step in to cover the gap between the guaranteed minimum value and any amount recouped by the land owner re-leasing or selling the site.

NVIDIA's guarantee is part of a broader strategy outlined by CEO Jensen Huang at Computex 2026, where he stated the company is transitioning from being just an AI company to also providing and building the necessary infrastructure for tech companies seeking hyperscalers and big data solutions. The financial commitment is tied directly to the performance of the datacentre, with NVIDIA expecting a return of up to US$600 billion through 2030 from OpenAI selling its 16 gigawatts of pure compute power, which includes the Ohio site's 3.75 gigawatts.

NVIDIA's US$105 billion guarantee for the Ohio datacentre is designed to secure a return of up to US$600 billion by 2030 through the sale of 16 gigawatts of compute power.

What Are the Concerns About Circular Financing in This Deal?

Critics have raised concerns that NVIDIA's investment constitutes a form of circular financing, where a company invests in or lends money to a customer who then purchases products from the original investor and supplier. This creates a closed loop between the companies, which could effectively lock out potential competitors with better or similar products.

NVIDIA CEO Jensen Huang dismissed these fears, stating that the investment is based on "scale and long-term visibility," not circular financing. He explained the rationale in a direct statement:

"We are securing long-lived infrastructure for Nvidia compute so OpenAI can deploy the most productive AI factories that can be upgraded repeatedly with each new generation delivering more intelligence and better economics."

— Jensen Huang, CEO of NVIDIA

Despite the criticism, the source material notes that the concern seems unlikely to materialize into a competitive issue, considering how niche the AI tech market is.

NVIDIA CEO Jensen Huang has publicly rejected claims of circular financing, asserting the investment is based on "scale and long-term visibility" for its compute infrastructure.

What Is the Projected Impact of the Ohio Datacentre Project?

The Ohio datacentre project is expected to have a significant economic impact through job creation and infrastructure development. To support the site, SoftBank and SB Energy plan to build at least 10 gigawatts of new power generation and invest US$4.2 billion in new regional grid infrastructure through a partnership with AEP Ohio.

The project is projected to create approximately 35,000 construction jobs through 2032 and about 2,500 long-term operating jobs. This workforce is necessary to build and operate the facility, which is part of OpenAI's broader 16-gigawatt compute network powered by NVIDIA hardware. The scale of the investment underscores the growing demand for AI infrastructure and the increasing role of chip manufacturers in financing large-scale datacentre projects.

The Ohio datacentre project is expected to create approximately 35,000 construction jobs through 2032 and 2,500 long-term operating jobs.

Who Is This For?

This deal is primarily for large-scale AI companies and hyperscalers that require massive, dedicated compute infrastructure. OpenAI is the direct beneficiary, securing 16 gigawatts of pure compute power powered by NVIDIA hardware, which includes the Ohio site's 3.75 gigawatts. The arrangement is designed for organizations that need to deploy "AI factories" that can be upgraded repeatedly with each new generation of NVIDIA hardware.

The partnership also benefits SoftBank and SB Energy, which are developing the datacentre and building at least 10 gigawatts of new power generation. NVIDIA's US$1.5 billion investment in SB Energy further solidifies the relationship, ensuring the energy infrastructure is in place to support the compute power being sold. This model is tailored for entities that require long-term, large-scale AI infrastructure with guaranteed financial backing from the hardware supplier.

Common Questions

How much is NVIDIA guaranteeing for the OpenAI Ohio datacentre?

NVIDIA has agreed to put up a guarantee of up to US$105 billion (~RM426 billion) for the new Ohio datacentre campus owned by OpenAI. This is one of the GPU maker's largest financing commitments to date.

What return does NVIDIA expect from its guarantee?

Through its guarantee, NVIDIA is expecting a return of up to US$600 billion (~RM2.43 trillion) from the datacentre through 2030. This return is based on OpenAI selling its 16 gigawatts of pure compute power, powered by NVIDIA's hardware.

Why do critics call this circular financing?

Critics see this as circular financing because NVIDIA invests in or lends money to a customer (OpenAI) who then purchases products from NVIDIA. This creates a closed loop that could lock out competitors, though NVIDIA CEO Jensen Huang has dismissed these concerns.

Sources and Methodology

This article is based on a single primary source: a report from Reuters, as cited by Lowyat.NET. The original source material was published on Lowyat.NET and references the Reuters article titled "NVIDIA to invest $1.5 billion in SB Energy under OpenAI data center deal" dated August 17, 2026.

All financial figures have been preserved as they appeared in the source material. Currency conversions to Malaysian Ringgit (RM) are provided as they appeared in the original article. Direct quotes from NVIDIA CEO Jensen Huang are reproduced verbatim from the source material.

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