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Goldman Sachs in talks on Nvidia’s $500b AI plan

Goldman Sachs is in talks with potential investors over Nvidia’s AI financing initiative, as the chipmaker and six financial partners aim to mobilize more than US$500 billion in third-party capital for AI infrastructure over time.

Nvidia said on August 10 it had signed memorandums of understanding with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs, and KKR to establish independent compute financing platforms for AI infrastructure.

The platforms are intended to support “AI factories” for frontier AI labs, enterprises, and AI cloud providers.

US insurers, money managers, and banks are expected to form the core investor base.

Goldman could provide junior capital and private credit through its asset management arm, and help place debt with private credit funds and later public debt markets.

Nvidia has said it has the option to backstop up to US$125 billion, or 25% of potential deals.

The proposed scale would exceed the US$100 billion total investment potential of the BlackRock, Microsoft, Global Infrastructure Partners, and MGX-led AI Infrastructure Partnership.

🔗 Source: Reuters

Recent Nvidia developments

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