Real Estate
Home›Real Estate›Industry›Apollo, BlackRock, Blackstone, others sign AI financin…
Apollo, BlackRock, Blackstone, others sign AI financing deal with Nvidia
The partners plan to deploy at least $500B of third party capital to develop AI infrastructure, while Nvidia said it will finance no more than 25% of each opportunity.
Apollo Global Management, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR have signed memorandums of understanding with Nvidia to fund the development of artificial intelligence infrastructure using third party capital.
The companies said they will deploy at least $500B and provide capital at attractive rates for Nvidia customers, with the goal of creating compute financing platforms at global scale across Nvidia's ecosystem.
Nvidia has expanded from selling AI graphics processing unit chips to also funding customers and the data centers that host AI workloads, an approach that has raised concerns about circular financing and a possible bubble risk, according to the report.
Nvidia CEO Jensen Huang responded by saying the company would finance only up to 25% of an opportunity on a project by project basis, calling the agreements an important milestone in Nvidia's push to help customers access scarce computing power.