Key facts
- OpenAI secured a 20-year lease for an Ohio data center, commencing in 2028.
- NVIDIA is backing the lease with a commitment capped at $105 billion.
- SB Energy will build and operate the data center infrastructure.
- The facility will host NVIDIA AI compute infrastructure.
- NVIDIA CEO Jensen Huang clarified that OpenAI will pay the lease.
AI firm OpenAI has entered into a 20-year lease agreement for a data center in Ohio, with the lease scheduled to commence in 2028. NVIDIA is supporting the initiative with a commitment capped at $105 billion. SB Energy will be responsible for the construction and operation of the data center's infrastructure.
The facility is designed to host NVIDIA's AI compute infrastructure, including GPUs, CPUs, and networking components. NVIDIA has secured an initial 4.25 IT-GW of capacity, with an option to acquire an additional 3.75 IT-GW. NVIDIA's aggregate payment obligation under these agreements is capped at $105 billion.
NVIDIA CEO Jensen Huang addressed questions regarding the financing, emphasizing that OpenAI will be the one paying for the lease. He also noted that NVIDIA has the flexibility to resell the capacity to other AI firms if OpenAI does not utilize it.
This move by OpenAI comes amid a surge in demand for AI infrastructure. The deal also precedes a potential initial public offering (IPO) for OpenAI, though current market predictions suggest a low probability of it occurring within the next year.