Nvidia to invest up to $3 bln in Lancium for Stargate AI data center project

Published Aug 10, 01:06 PM UTC

Nvidia is investing up to $3 billion in Lancium, the power infrastructure company behind the Stargate AI data center initiative, with potential for an additional $1 billion if Lancium meets specific benchmarks related to electrical grid connections. The deal values Lancium, including its land and power assets, at approximately $10 billion. Lancium plans to use the capital for expansion and is considering an IPO in 2027. Stargate, which first became operational at Lancium's 1,000-acre Clean Campus in Abilene, Texas, is a joint effort by SoftBank, OpenAI, and Oracle to build AI data centers, with commitments of up to $500 billion in AI infrastructure announced by U.S. President Donald Trump in January. Nvidia CEO Jensen Huang has emphasized the profitability of AI infrastructure investments and the role of wealthy family offices as emerging capital sources. Nvidia has also made other infrastructure-related investments, including a $2 billion partnership with Marvell Technology.