Earnings
Home›Earnings›Previews›NVIDIA weighs $250B credit backstop for OpenAI data ce…
NVIDIA weighs $250B credit backstop for OpenAI data center lease
The deal would cover a 10 gigawatt Ohio facility, and talks also reportedly include extra financing for silicon that could push the project scope above $500 billion.
NVIDIA is in negotiations on a proposed $250 billion credit backstop connected to OpenAI's Ohio data center lease, a setup that spotlights the growing role of vendor financing in the AI infrastructure buildout, MarketBeat Ratings reports.
The proposed wrap is tied to a 10 gigawatt SoftBank data center lease in Ohio, with discussions also including additional financing specifically for silicon. The coverage describes the project as potentially topping over $500 billion in total scope because OpenAI does not have an investment-grade credit rating for securing large-scale leases on its own balance sheet.
The article says the market reaction to the reported size of the contingent liability was sharp, with NVIDIA shares declining after the news surfaced. It points to Q1 fiscal year 2027 figures, including net income of $58 billion, while noting $13.4 billion of that figure came from unrealized equity gains rather than core operations.
MarketBeat Ratings also flags balance sheet and demand concentration risks, citing that 54% of NVIDIA revenue generation is tied to three hyperscaler clients, while arguing that shifting financing mechanics are changing the market structure behind peak AI capex.