Nvidia is reportedly in talks to provide approximately $250 billion in financing guarantees to support a massive data center project for OpenAI, according to a Wall Street Journal report. The backstop from vidia would allow the ChatGPT maker to lease a 10-gigawatt facility being developed in southern Ohio by a SoftBank energy subsidiary. Additionally, for OpenAI, this arrangement represents an initial move toward controlling its own infrastructure rather than renting capacity from cloud providers like Microsoft, Amazon, and Oracle, while guaranteeing long-term demand for Nvidia’s artificial intelligence chips. This project alongside the Central Ohio Data Center will position the state as a leading AI infrastructure developer in the US.
Overall Project Cost
The overall project is projected to cost more than $500 billion. This total includes the processing chips housed inside the facility. Nvidia’s proposed $250 billion funding specifically covers the data center’s lease and debt financing rather than the hardware itself. However, the WSJ noted that Nvidia is also discussing separate financing options for OpenAI’s chip purchases, which could be worth up to $350 billion. The support from the chipmaker is designed to establish financing vehicles that reassure project lenders regarding funding security.
Moreover, the first phase of the development is targeted for completion in 2028 and is expected to deliver around 800 megawatts of power. The site’s power allocation is controlled by the U.S. government and funded separately by Japan under a recent trade agreement tied to Tokyo’s commitment to invest $33 billion in a natural gas plant. Also, U.S. Commerce Secretary Howard Lutnick is actively involved in determining access to the facility. While OpenAI has been in advanced talks for several weeks to lease the site, rival firms including Anthropic, Microsoft, and Google have also held discussions with Lutnick.
Lastly, the deal reflects a broader trend across the tech industry, where companies are increasingly turning to debt and equity markets to fund massive AI infrastructure investments that are projected to exceed $700 billion this year.
10GW Ohio Data Center: Project Factsheet
Project Name: PORTS Technology Campus (Southern Ohio Data Center)
Location: Piketon, Southern Ohio
Developer / Owner: SB Energy (Energy subsidiary of SoftBank Group)
Primary Tenant (In Talks): OpenAI
Anchor Financial Guarantor: Nvidia (via $250B financing backstop)
Total Estimated Cost: $500+ Billion (including core infrastructure, land, power, and AI chips)
Groundbreaking Date: March 20, 2026
Power & Capacity Specifications:
Planned Total Capacity: 10 Gigawatts (GW) (10,000 MW)
Phase 1 Capacity: 800 Megawatts (MW) targeted for operational completion in 2028.
Power Source: On-site/dedicated 9.2 GW natural gas power generation plant (funded in part via US–Japan trade framework).
Site Footprint: Initial development area of 189 acres.
Power Allocation Authority: Controlled by the U.S. Government
Financial Breakdown & Deal Structure:
- $250 Billion Guarantee (Nvidia): Proposed financial backstop covering data center lease commitments and debt financing to reassure lenders for the unprofitable, non-investment-grade OpenAI.
- $350 Billion Chip Procurement Financing: Separate discussions for Nvidia to finance OpenAI’s AI chip acquisitions for the site.
- $33 Billion Japan Infrastructure Commitment: Japanese funding toward the gas-fired power facility in exchange for trade/tariff terms, with power revenues split between Japan and the U.S.
- Economic Impact: Estimated 10,000 construction jobs and 2,000+ permanent technical positions.
Project Team
Developer and Lead Sponsor:
SB Energy (SoftBank Group Corp.): Primary developer and project lead executing the infrastructure buildout.
Proposed Tenant and Hardware Guarantor:
OpenAI: Primary prospective anchor tenant in advanced talks to lease capacity for model training and inference.
Nvidia Corporation: Financial guarantor negotiating $250B in backstop financing for the lease and up to $350B in chip procurement financing.
U.S. Federal Government & Landowners:
U.S. Department of Energy (DOE): Federal site owner leasing 640 acres of the former Portsmouth Gaseous Diffusion Plant in Piketon, Ohio.
U.S. Department of Commerce: Oversees power access allocation and public-private coordination.
U.S. Department of the Interior
Grid, Power & Infrastructure Partners:
AEP Ohio (American Electric Power): Utility partner building $4.2 billion in new 765-kV high-voltage transmission infrastructure to support the campus grid connection.
Japan External Trade Organization (JETRO) / Japanese Ministry of Finance: International partners funding the $33.3 billion, 9.2-GW natural gas generation hub under the U.S.–Japan Strategic Trade and Investment Framework.
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