Nvidia today announced strategic partnerships to establish independent compute financing platforms with Wall Street giants to finance AI infrastructure.
Flush with demand for AI chips, Nvidia partnered with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs, KKR to mobilize over $500 billion of third-party capital for the buildout of AI infrastructure over time.
“Nvidia has reached an important milestone. We began by building chips; today, we are helping create a new class of productive, investable infrastructure: AI factories,” said Jensen Huang, founder and CEO of Nvidia, in a statement. “In AI, compute is revenue. Nvidia compute is uniquely suited for this role. It is broadly adopted, flexible across models and workloads, fungible and transferable across customers and operators, and continuously improved through CUDA software — extending its useful life and improving its economics over time.”
Huang added, “It is supported by a deep global ecosystem of developers, customers and offtakers. That is why we are bringing the world’s leading long-term capital providers together to independently underwrite AI infrastructure. These financing platforms will help customers access scarce compute at scale and build the DSX AI factories that will power every industry and country in the age of AI.”
Demand for AI infrastructure continues to accelerate as countries, governments, enterprises and startups look to drive innovation, economic growth and societal benefits. Nvidia compute is an investable asset — one which provides the lowest token cost, highest revenue and longest life along with a rich ecosystem of offtakers built upon Nvidia’s CUDA platform.
In a tweet, Huang elaborated on the reason for the action.
“The demand for AI infrastructure is extraordinary. But access to capital is uneven. Many great AI companies, enterprises and AI clouds have demand for compute but do not yet have access to financing at the scale or cost required to build quickly,” Huang wrote. “That is why we are partnering with the world’s leading long-term capital providers.”
Memorandums of understanding signed with six of the world’s premier financial institutions to create these partnerships aim to establish the first compute financing platforms of their kind at global scale to enable the AI infrastructure buildout across Nvidia’s ecosystem, including leading frontier AI labs, enterprises and AI clouds. Under these strategic partnerships, Nvidia will work with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR to create dedicated pools of capital at significant scale at attractive rates for Nvidia customers.
“Modern compute has emerged as a scarce, mission-critical asset class with compelling investment characteristics that is positioned to drive significant long-term economic growth and productivity gains,” said Apollo President Jim Zelter, in a statement. “The combination of Nvidia’s proprietary technology ecosystem and Apollo’s flexible, long-term capital base provides a strong foundation to support the next stage of the AI buildout as part of the broader Global Industrial Renaissance.”
“The AI buildout will require unprecedented investment and a skilled workforce to turn that investment into the infrastructure that will help power future growth,” said Larry Fink, Chairman and CEO of BlackRock, in a statement. “This partnership deepens our relationship with NVIDIA, including through the AI Infrastructure Partnership, and brings together Nvidia’s leadership in accelerated computing with BlackRock’s ability to connect long-term capital to essential infrastructure. Together, we can help deliver the compute capacity that companies need to grow and create more jobs, supporting the continued growth of the U.S. and global economies, while creating attractive, long-term investment opportunities for our clients.”
Other partners issued similar statements. These partnerships remain subject to execution of the final agreements.