OpenAI is in discussions to lease a huge new data center campus in Ohio. The project could also receive financial backing from Nvidia (NVDA), according to a report from The Information. The proposed facility would have a power capacity of up to 10 gigawatts and would be built on federal land in southern Ohio.
The report follows OpenAI’s recent confidential filing for an initial public offering (IPO). The ChatGPT maker, currently valued at more than $850 billion, is preparing for a potential public listing as soon as the fourth quarter of this year. The confidential filing allows regulators to review its financial statements before they are made public to investors.
Details of the Ohio Data Center
The Ohio project could cost more than $500 billion, based on current prices for AI chips, construction, power, and labor. If completed at its proposed scale, a 10-gigawatt facility would rank among the largest AI data center projects ever planned. It would require power comparable to that consumed by millions of homes.
Under the proposed deal, OpenAI would lease the facility for 20 years and control the equipment inside it. Lease payments would begin once the center becomes operational, with the first phase expected to go live in 2028.
The campus would be developed by SB Energy, a company owned by Japan’s SoftBank (SFTBY). The site would be located on land managed by the U.S. Department of Energy. Nvidia could reportedly supply the advanced hardware used in the facility. Moreover, the chip giant could offer financial guarantees to support OpenAI’s lease and help secure funding for the project.
The proposal comes as major technology companies ramp up spending on data centers, chips, and energy infrastructure to meet rising AI demand. Earlier this year, OpenAI paused its planned Stargate data center project in the UK because of regulatory challenges and high energy costs. The Ohio project reflects OpenAI’s continued investment in AI infrastructure.
