Nvidia Cuts the Ohio Guarantee Below $120B — Still Circular, Just Smaller
WSJ reported Nvidia is now expected to initially guarantee less than $120 billion — down from the $250 billion discussed in July — for OpenAI’s proposed 10-gigawatt Ohio data-center lease, with the two sides nearing a first-phase backstop. Talks, not a signed deal.
Corrected October 14, 2026: Removed a ~$100B figure attributed to The Information, whose report was not read; the headline and body now use the WSJ figure of under $120B for a first phase, confirmed through Reuters' syndicated report.
A quarter-trillion Nvidia wrap around one OpenAI campus was the circular-financing chart that rattled public-market investors. Cutting it to under $120 billion for a first phase is still enormous — and still Nvidia helping its largest customer finance the building that will buy more Nvidia.
Nvidia has revised the financial backstop it is negotiating for OpenAI’s proposed ~10 GW data-center project in southern Ohio (Pike County in follow-on notes). The Wall Street Journal, via Reuters, said Nvidia is now expected to initially guarantee less than $120 billion, down from the ~$250 billion discussed in a July 26 WSJ exclusive, and that the companies are nearing an agreement covering only the first phase. No lab primary and no signed deal. Project cost including chips has been sketched above $500 billion.
What changed vs July#
| Date | Source | Claim |
|---|---|---|
| Jul 26 | WSJ exclusive | Nvidia in talks to guarantee ~$250 billion so OpenAI can lease a 10 GW Ohio campus; total project >$500 billion including chips |
| Aug 14 | WSJ via Reuters | Guarantee cut to <$120 billion initially; first phase only; sides nearing a deal |
This is the August 14 scale-back / near-deal update. It is separate from Nvidia’s Aug 10 $500 billion compute-financing MOUs.
Limits#
- Talks, not a close; dollar figures from people familiar, not 8-Ks.
- Chips vs lease backstop were already separated in July coverage.
- No lab primary confirmation on Aug 14.
Sources#
- Reuters (syndicated copy): Nvidia scales back funding guarantee for Ohio OpenAI data center, WSJ reports
- Reuters: Nvidia scales back funding guarantee for Ohio OpenAI data center, WSJ reports (August 14, 2026)
- WSJ: Nvidia in Talks With OpenAI to Guarantee $250 Billion Financing (July 26, 2026; updated in Aug 14 follow)