Nvidia reduced its planned financial guarantee for a massive OpenAI data center in Ohio, according to the Wall Street Journal. The chipmaker cut the initial commitment from $250 billion. The revised guarantee totals less than $120 billion. Investors raised concerns regarding Nvidia's substantial financial exposure to a single project.
The new agreement provides a backstop only for the project's first phase. Parties may sign the updated contract as early as this weekend. OpenAI still intends to proceed with the broader 10-gigawatt data center plan.
The reduction signals a potential limit on corporate risk-taking for AI infrastructure. The move reflects more cautious investor sentiment toward capital-intensive AI buildouts. Market participants are increasingly utilizing complex financing structures to manage these costs.