Nvidia Corp. is in talks to provide billions of dollars in credit guarantees for debt financing that AI cloud provider Nscale needs to build a 460-megawatt data center in West Virginia intended for Anthropic, according to the Information, with Bloomberg corroborating the report1,2,3.
The arrangement would represent a new kind of financial commitment from the chipmaker. Under a residual value guarantee, Nvidia would step in if Nscale defaulted on construction payments, temporarily take over the facility, and help find a buyer and new tenant. Nvidia's prior support for cloud providers has mostly covered leases and chip purchases, not construction.
Anthropic has signed a $44.6 billion contract covering the first building at Nscale's West Virginia campus, according to Nscale's IPO filing. That facility is expected to use Nvidia's next-generation Vera Rubin chips. The two companies are also discussing a second deal worth roughly $45 billion for another building on the same campus.
Nscale is seeking to go public at a valuation of up to $35 billion, even as concerns grow about its ability to deliver on ambitious data center projects. The proposed Nvidia guarantee would help Nscale secure financing for the electricity and construction costs of the West Virginia campus.
ANALYSIS The structure effectively makes Nvidia a backstop for infrastructure it will supply chips to, tying the chipmaker's balance sheet more directly to the buildout cycle than a standard sales relationship would. For Anthropic, the deal would lock in dedicated compute capacity at a scale that dwarfs most disclosed AI-infrastructure contracts if both buildings proceed.