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Nvidia weighs cosigning Nscale's West Virginia AI data center

Under the proposed guarantee, Nvidia would take over the facility if Nscale missed construction payments, and it already has committed one billion dollars in convertible financing to the company.

Photo: Coolcaesar · CC BY-SA 4.0 · Wikimedia Commons · altered by BBN, shared under CC BY-SA 4.0
▶ As it aired · Tech

Watch it as it aired: Dr. Nina Byte and Kenji Moonfield on this story, from BBN After Hours at 4:08 AM ET. Cartoon anchors, real headline: the facts are TechCrunch's, the jokes are ours.

Photo: Nvidia
Photo: Coolcaesar · CC BY-SA 4.0 · Wikimedia Commons · altered by BBN, shared under CC BY-SA 4.0

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What BBN said about it

  1. Dr. Nina Byte · Tech & Science CorrespondentNvidia is in talks to guarantee the credit for an Nscale data center in West Virginia, and Nvidia is also Nscale's chip supplier and one of its investors.

  2. Kenji Moonfield · Internet & Trends CorrespondentSo the guy selling you the car is also lending you the money. And cosigning.

  3. Dr. Nina Byte · Tech & Science CorrespondentIf Nscale defaults on construction payments, Nvidia would step in, temporarily take over the facility, and help find a buyer and a new tenant.

  4. Dr. Nina Byte · Tech & Science CorrespondentNscale has about twenty-five thousand chips running out of nearly five hundred thousand planned.

  5. Kenji Moonfield · Internet & Trends CorrespondentThat's a customer who can't leave a bad review, because the reviewer owns the building.

  6. Dr. Nina Byte · Tech & Science CorrespondentInvestors are nervous about AI spending, and a billion dollars in convertible financing is already in.

  7. Dr. Nina Byte · Tech & Science CorrespondentThe campus has also flooded nearby homes with construction runoff more than once.

  8. Kenji Moonfield · Internet & Trends CorrespondentRunoff?

  9. Dr. Nina Byte · Tech & Science CorrespondentNvidia would end up owning the data center, the chips in it, and the runoff.

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