Nvidia is reportedly in talks to provide roughly $250 billion in financial backing for OpenAI, according to a Wall Street Journal report published July 26, 2026, confirmed by Reuters. The deal is not a direct cash payment. It would function as a guarantee to help OpenAI secure debt financing for a massive data center campus.
The project centers on a 10-gigawatt facility in southern Ohio. SoftBank’s energy subsidiary is developing the site. Without Nvidia’s backing, OpenAI — which still lacks an investment-grade credit rating despite 900 million weekly ChatGPT users — would likely face steeper borrowing costs or collateral demands.
The Ohio site was partly chosen due to a nearby decommissioned uranium enrichment facility. Power would come from a natural gas plant backed by $33 billion in Japanese investment, tied to a recent U.S.-Japan trade agreement.
NVDA closed at $206.84 on July 23, down 0.92% on the day, with a 12-month high of $236.54 and a low of $164.07.
Including Nvidia chips destined for the facility, the full project is estimated to exceed $500 billion. That would eclipse Nvidia’s own $100 billion OpenAI investment pledged in September 2025.
The first phase — around 800 megawatts — is expected online by 2028. Full 10-gigawatt capacity will take years and multiple construction stages.
Commerce Secretary Howard Lutnick is involved in determining which companies get access to the site’s power capacity. OpenAI is described as the frontrunner after weeks of advanced talks.
Microsoft, Alphabet, and Anthropic have also spoken with officials about the project, underscoring how contested the Ohio capacity has become.
Nvidia is also reportedly discussing a separate chip purchase financing arrangement for OpenAI worth up to $350 billion. Combined with the data center guarantee, Nvidia’s total financial exposure to one customer could approach $600 billion.
That figure has already drawn criticism. Investor Michael Burry noted publicly that Nvidia would effectively be guaranteeing OpenAI’s own purchases of Nvidia chips. Tech commentator Ed Zitron raised questions about where the underlying capital would come from.
Neither Nvidia nor OpenAI has commented publicly. The arrangement remains a proposal, not a signed deal.
On the institutional side, multiple funds increased their NVDA positions in Q1. Mandatum Life Insurance grew its stake by 34.5%. Cogent Strategic Wealth added 68.2%. Institutions now own roughly 65.27% of the stock.
Analyst sentiment stays firmly positive. Tigress Financial issued a $425 price target, up from $360. KeyCorp raised its target to $330.
The consensus average sits at $304.26, with 48 Buy ratings and just 2 Hold ratings among tracked analysts.
Nvidia posted $81.61 billion in revenue for its most recent quarter, up 85.2% year-over-year, beating estimates of $78.42 billion. EPS came in at $1.87, ahead of the $1.76 consensus.
The company also authorized an $80 billion share buyback and raised its quarterly dividend to $0.25 per share, up from $0.01.
Insider selling has been a counterpoint — directors sold over 1.9 million shares worth around $410 million in the last three months.
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