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Nvidia Commits $1.5 Billion Investment in SB Energy's Ohio Data Center Initiative

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  • Nvidia announced a $1.5 billion investment in SB Energy, a data center affiliated with SoftBank and OpenAI.
  • This investment makes Nvidia the exclusive supplier of computing infrastructure at OpenAI’s Ports-Pike data center located near Cincinnati, Ohio.
  • Nvidia is also providing up to $105 billion in credit to facilitate the construction of the facility, potentially escalating from an initial 4.25 gigawatts to 8 gigawatts.
  • SB Energy's existing backing comes from SoftBank and OpenAI. Previously, SoftBank sold its $5.8 billion stake in Nvidia for other AI initiatives.
  • The data center will house a 9.2 gigawatt natural gas power plant on property owned by the U.S. Department of Energy, historically used for uranium enrichment for the U.S. nuclear program.
  • The power plant's projected cost is $33 billion, reflecting a 66% rise in natural gas plant construction costs over two years.
  • Upon completion, the power plant will compete for natural gas supply with export markets, potentially causing a threefold increase in natural gas prices in parts of the U.S.