Nvidia announced on Monday that it has agreed to provide a financial guarantee of up to $105 billion to support OpenAI's lease of a new data center in Pike County, Ohio. The facility is being developed by SB Energy, a subsidiary of SoftBank. As part of the arrangement, Nvidia will also invest $1.5 billion directly into SB Energy, following a $1 billion investment made by OpenAI and SoftBank in January 2026 to expand infrastructure.
The agreement involves a long-term commitment where OpenAI will lease the site for 20 years, with Nvidia serving as the exclusive chip provider. The data center is projected to have a total capacity of up to 8 gigawatts, with the initial 800 megawatts scheduled to come online in 2028. To support the facility’s energy needs, SoftBank and SB Energy plan to build 10 gigawatts of new power generation and invest $4.2 billion in regional grid infrastructure through a partnership with AEP Ohio.
The financing structure for the project is still being finalized but is expected to include a mix of equity and debt. Sources familiar with the matter indicated the equity portion may involve capital from a potential SB Energy initial public offering (IPO) and direct investment from SoftBank. The debt portion is expected to consist of project finance loans and public bonds. Nvidia stated its guarantee covers specific lease and power payments and ensures the site maintains a minimum value, rather than covering the total project cost.
For the companies involved, the financial implications are substantial. Nvidia CEO Jensen Huang stated the site could contribute as much as $200 billion to Nvidia's revenue, with the potential for OpenAI to generate $600 billion in revenue for the chipmaker by 2030 through the purchase of 16 gigawatts of computing power. While Nvidia faces scrutiny regarding "circular financing"—where a company funds the customers who buy its products—Huang stated the firm is using its scale to secure "long-lived infrastructure" that can be upgraded with future chip generations.
The project also carries implications for the U.S. energy sector and federal policy. The development involves federal land and participation from the U.S. Departments of Commerce and Energy to address the "aging and strained" national power grid. Local communities in Ohio will see an $80 million commitment for community projects funded by OpenAI and SoftBank. The next steps for the project include defining the final equity and debt amounts and beginning construction to meet the 2028 target for the first phase of operations.