The Financial Times reported that a group of US investment giants is joining Nvidia in a US$ 500 billion package to finance artificial intelligence (AI) infrastructure projects, with an announcement possible as soon as this Monday (August 10).
The negotiations involve Apollo Global Management, Blackstone, BlackRock’s Global Infrastructure Partners, Brookfield Asset Management, Goldman Sachs and KKR, according to unidentified sources.
The companies cited did not respond to requests for comment. Nvidia also did not immediately respond to a request for comment. The company's shares fell as much as 3.2%.
Context
Nvidia has already signed hundreds of billions of dollars in deals with companies across the AI ecosystem, which has raised concerns among some investors that the chip giant is inflating demand and valuations in the sector through the circular nature of such deals.
Last month, Nvidia expanded a partnership with South Korean conglomerate SK Group and said the companies will do more than US$ 500 billion in business with each other. The company is also negotiating support of up to US$ 250 billion to help OpenAI rent computing capacity from a data center project in the US, in what would be one of the chipmaker's largest financing deals with a client.
