WORLD NEWS
Nvidia’s Open AI guarantee cut in half? There was a report that only 5GW of the 10GW plan will be in charge.
There have been reports that NVIDIA will lower OpenAI’s Ohio data center financial guarantee from $250 billion to less than $120 billion.
The two companies have not announced a final contract, and the current amount and 5GW range are at the stage reported by the Wall Street Journal, citing an anonymous official.
What is halved?
According to reports, NVIDIA is expected to provide financial guarantees only for the 5GW portion of the Ohio data center discussed with a total size of 10GW. The amount of guarantees was lowered from about $250 billion announced last month to less than $120 billion. How the remaining 5GW will be financed has not yet been decided.
How are guarantees different from investments or cash payments?
A financial guarantee is different from Nvidia paying $120 billion in construction costs right away. It is a device that allows developers to borrow money on more favorable terms by allowing the guarantor to take responsibility when Open AI fails to pay rent or related debts. Actual risk will vary depending on contract term, limits and default conditions.
Why are there concerns about circular trading?
If the data center is financed with NVIDIA’s credit and Open AI purchases NVIDIA chips in large quantities from the facility, it would seem that the supplier even supports the customer’s purchasing power. If demand falls short of expectations, both facility debt and chip costs can become a burden. However, the actual size of the risk cannot be calculated right now as the terms of the deal have not been disclosed.
What is the officially confirmed scope?
OpenAI and NVIDIA announced a letter of intent to deploy at least 10GW of NVIDIA systems by 2025 and invest up to $100 billion in each phase. In a separate announcement in February 2026, OpenAI presented NVIDIA investment of $30 billion and dedicated computing capacity of 5GW. The Ohio warranty reduction itself was not confirmed in the official announcements of both companies.
What to check next
Once a formal contract is signed, we need to look at the guarantee limit, duration, target debt and options beyond 5GW. The key points in NVIDIA’s disclosure are how much of the guarantee is actually considered a contingent liability, and in the Open AI and developer announcements, it includes information on securing power and timing of each stage of operation. The numbers at the reporting level should not be read as confirmed expenditures.
official source material
Yonhap report summarizing the latest WSJ report
OpenAI and NVIDIA official 10GW partnership announcement