The deal makes Nvidia the sole compute supplier for OpenAI’s Ports-Pike data center near Cincinnati, Ohio.
Nvidia will invest $1.5 billion in SB Energy, a data center and power developer with SoftBank and OpenAI as existing investors. The investment makes Nvidia the sole supplier of compute infrastructure at OpenAI’s Ports-Pike data center near Cincinnati, Ohio. Nvidia will also provide up to $105 billion in credit to help build the facility.
SB Energy counts SoftBank and OpenAI among its existing investors. SoftBank previously held $5.8 billion worth of Nvidia stock and sold it in November to fund other AI investments. The U.S. Department of Energy owns the site, which previously enriched uranium for the U.S. nuclear arsenal and Navy submarines. SB Energy will build a 9.2 gigawatt natural gas power plant on the site.
For AI operators, the sole-supplier arrangement ties OpenAI’s Ports-Pike build to Nvidia’s roadmap and pricing. The project’s 9.2 gigawatt gas plant also highlights the power demands of large-scale AI infrastructure. Builders should plan for rising natural gas costs, which have climbed 66% in two years.
SB Energy will build the gas plant for $33 billion, and natural gas plant construction costs have risen 66% in two years. Once SB Energy’s plant and other projects are complete, they will compete with export markets for natural gas. The competition risks tripling natural gas prices in some regions.
What matters
- Nvidia will invest $1.5B in SB Energy and provide up to $105B in credit for the build.
- For AI teams, Nvidia’s sole-supplier role at OpenAI tightens compute procurement risk.
- Watch whether the gas plant’s demand triples natural gas prices in some regions.
Why it matters
Watch whether the gas plant’s demand triples natural gas prices in some regions.
This GenAI News article was prepared in original wording using reporting and materials published by TechCrunch AI. Source reference: https://techcrunch.com/2026/08/17/nvidia-investing-1-5b-in-softbank-data-center-developer-behind-openai-project/.
Drafted by the GenAI News review pipeline.