Nvidia $NVDA Cuts OpenAI Ohio Backstop While Keeping Massive AI Upside

Nvidia $NVDA and OpenAI are reportedly nearing a revised agreement for OpenAI’s massive 10GW Ohio AI data center campus.
At first glance, the smaller guarantee sounds negative.
But Nvidia is now expected to backstop only the first roughly 5GW, cutting its financial guarantee from around $250 billion to less than $120 billion and significantly reducing its direct risk exposure.
At the same time, Nvidia is discussing a separate arrangement to finance OpenAI’s chip purchases, which could eventually total as much as $350 billion across the full 10GW project.
That potentially gives $NVDA enormous exposure to the hardware upside while limiting how much of the infrastructure financing risk it takes on upfront.
A smaller backstop may actually make the structure much more attractive for Nvidia shareholders.