Mentioned:
Nvidia is partnering up with the some of the world’s largest asset management companies and investment banks. But, why?
What’s happening:
- Nvidia (NASDAQ: NVDA) has partnered with BlackRock, Blackstone, Goldman Sachs, Apollo, Brookfield and KKR to raise more than $500B USD for artificial intelligence infrastructure
Why it matters:
- Nvidia has publicly stated that the $500B USD of investment is aiming to be deployed into dedicated capital pools that will fund Nvidia’s customers to accelerate the build out of data centres and large scale artificial intelligence infrastructure
Going deeper:
- BlackRock, Blackstone, Goldman Sachs, Apollo, Brookfield and KKR are each expected to establish independent financing platforms with Nvidia and pool third-party capital to lend or invest to Nvidia’s customers
- Nvidia has been aggressively betting on expanding physical infrastructure for artificial intelligence through their a flurry of large partnerships lately, including previously striking a deal with IREN (NASDAQ: IREN) to deploy 5 gigawatts of Nvidia’s GPUs across their data centres in Canada and the United States as well as making a $2B USD strategic equity investment into Nebius (NASDAQ: NBIS)
The fine print:
- The agreements between Nvidia and BlackRock, Blackstone, Goldman Sachs, Apollo, Brookfield and KKR are all non-binding and it has not yet been publicly disclosed when the new third-party capital will be raised or begin to be deployed
