NVIDIA may back Nscale's loan for Anthropic data center
What's the story
NVIDIA is reportedly in talks to provide credit guarantees worth billions of dollars to AI cloud provider Nscale. The move is aimed at supporting debt funding for a data center intended for Anthropic, The Information reported. The financial backing would go toward the power infrastructure and construction of Nscale's AI data center in West Virginia, which Anthropic plans to utilize.
Strategic partnerships
Nscale already has a $45B deal with Anthropic
Nscale, a UK-based cloud provider, is already an investor in Nscale.
In August, Anthropic had struck a deal to rent $45 billion worth of computing power from Nscale's West Virginia data center campus.
Nscale is also said to be in talks for another deal with Anthropic for about 460 megawatts of AI computing power, which could also be worth around $45 billion.
Information
Coreweave, Firmus are also backed by NVIDIA
The news of NVIDIA's possible backing comes as other companies like Coreweave and Firmus, both backed by NVIDIA, have been facing concerns over debt financing for AI expansion. The competitive and costly nature of the race for advanced AI technologies is evident in these developments.