How the AI Boom Is Really Financed: Nvidia Backs $250B So OpenAI Can Buy Nvidia’s Chips.
The Wall Street Journal reported on July 26 that Nvidia is in talks to provide roughly $250 billion in financing guarantees so OpenAI can lease a 10-gigawatt data center in southern Ohio — a project that could exceed $500 billion once chips are included, with Nvidia separately discussing up to $350 billion to finance those chip purchases. The chip maker is underwriting its own customer’s demand for its own product, on a former uranium site, powered by electricity the US government allocates and Japan funds. gafam.ai reads the circular financing at the heart of the AI boom, the bubble question it raises, and Europe’s total absence from every layer.