Nvidia has partnered with six major Wall Street financial institutions to raise more than $500bn (£370bn) in capital for artificial intelligence infrastructure, according to infohub.kz.
Nvidia CEO Jensen Huang said on X that the company has the option to backstop up to $125bn, or 25% of potential deals. This move highlights how surging demand for AI computing capacity is drawing institutional investors, as governments, companies, and startups race to build out data centers.
Big tech companies have signaled that spending on AI will not slow down, with combined outlays set to surpass $730bn this year. However, there are concerns about the link between high valuations of tech companies and the need for vast investments to support their ambitions.
Nvidia signed memorandums of understanding with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs, and KKR to create financing platforms. These platforms will allow third-party investors to treat AI "compute" as an asset class.
Nvidia, which is worth $5.3tn, counts Google, Amazon, Microsoft, and Facebook owner Meta among its customers. "These financing platforms will help customers access scarce compute at scale and build the AI factories that will power every industry and country in the age of AI," Huang said.
"Compute has become a critical infrastructure asset," said Joe Bae and Scott Nuttall, co-chief executives of KKR, in a joint statement. Nvidia said the arrangements would "create dedicated pools of capital at significant scale at attractive rates" for its customers. The company did not disclose financial terms, investment commitments by individual firms, or a timetable for deploying the planned $500bn.