Nvidia partners with six financial giants

U.S.-based technology company Nvidia announced that it has established strategic partnerships with six financial institutions to mobilize more than $500 billion in third-party capital for the development of artificial intelligence infrastructure.

In a statement, Nvidia said it had signed memorandums of understanding with Apollo, Blackstone, BlackRock, Brookfield, Goldman Sachs and KKR to establish independent computing-finance platforms, CE Report quotes Anadolu Agency.

The financing platforms are intended to transform Nvidia’s computing and AI infrastructure into an investable asset class for global capital and expand access to AI factories, the company said. Under the agreements, Nvidia will work with the institutions to offer its customers dedicated pools of capital at attractive rates and significant scale.

The partnerships, which are designed to mobilize more than $500 billion in funding, remain subject to the signing of definitive agreements, Nvidia said.

Nvidia Founder and CEO Jensen Huang said the company had reached a major milestone.

“We started by making chips, and today we are helping create a new productive and investable infrastructure class: AI factories,” Huang said.

Emphasizing that computing in AI translates into “revenue,” Huang said the financing platforms would help customers gain access to scarce computing resources at scale and build AI factories capable of powering every industry and country in the AI era.

BlackRock CEO Larry Fink said the development of AI infrastructure would require unprecedented investment and skilled workers. He added that the partnership would support growth in the U.S. and global economies while creating attractive long-term investment opportunities for clients.

Goldman Sachs CEO David Solomon said the industry was at a critical stage of a historic AI investment cycle and expressed enthusiasm about the opportunity to create a new credit market based on Nvidia computing.

Photo: Chat GPT