Nvidia is joining hands with major Wall Street financial firms to build an artificial intelligence (AI) infrastructure financing platform worth more than $500 billion (about KRW 710 trillion).
Nvidia announced on Aug. 10 (local time) that it signed separate memorandums of understanding (MOUs) with six financial companies—Apollo Global, BlackRock, Blackstone, Brookfield Asset Management, Goldman Sachs, and KKR—to pursue this initiative. These financial firms plan to create a dedicated, large-scale fund pool to be used for constructing AI infrastructure across the Nvidia ecosystem. The agreements remain subject to final documentation.
“We started by making chips, but today we are helping to build a new type of infrastructure that is productive and investable: 'AI factories,'” Jensen Huang, chief executive officer of Nvidia, said in a statement. “In AI, compute is revenue.”
In an interview with CNBC, Huang explained that this capital will consist entirely of third-party funds. Rather than Nvidia or the six financial firms directly injecting massive equity, the approach builds a financial platform that gathers funds from insurers, pension funds, and other institutions to supply them to AI infrastructure projects.
In large-scale data center projects, funds are typically raised by establishing project-specific special purpose vehicles (SPVs) and issuing bonds to finance construction. Private credit providers and other lenders underwrite those bonds and then reconfigure them into asset-backed securities (ABS) to resell to banks or institutional investors, completing the capital cycle.
Observers note that the collaboration between Nvidia and Wall Street is highly likely to structure funds through a similar mechanism. The U.S. Securities and Exchange Commission (SEC) recently exempting certain data center-related ABS from investor protection rules such as risk retention is also cited as a factor accelerating the influx of massive private capital.
