Musk Warns Nvidia-Backed $105B Ohio Data Center for OpenAI Will Take 'Much Longer'
NVDA sits 34% above its 52-week low of $164.07.
Summary
Elon Musk publicly cast doubt on the timeline for the massive Ohio data center that Nvidia is backing for OpenAI, saying it will take 'much longer' to come online than expected. The project, developed by SoftBank-owned SB Energy, involves Nvidia guaranteeing up to $105 billion in payments and investing $1.5 billion, with first commitments starting in 2028. Musk's skepticism matters because his own companies are racing to build AI infrastructure, and any delay could affect Nvidia's future data center revenue. Nvidia shares fell 2.34% on Tuesday and slipped further after hours. The deal underscores Nvidia's central role in AI infrastructure, but the warning adds uncertainty to the timeline.
At the time of this announcement, NVDA was trading at $219.28 on NASDAQ in the Technology sector, with a market capitalization of approximately $5.3T. The 52-week trading range was $164.07 to $236.54. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Benzinga.