NVIDIA's AI-financing spree ignites fears of a circular funding loop

NVIDIA is accelerating a wave of AI infrastructure deals potentially totaling over $750 billion, including plans to guarantee up to $250 billion of OpenAI’s data-center debt and to finance about $350 billion of OpenAI’s chip purchases, plus backing a SoftBank-backed $500 billion OpenAI data-center hub in Ohio and a $1 billion investment in a South Korean AI data center. While Nvidia argues these moves speed up the AI buildout and chip supply, critics warn the financing loop could inflate demand and valuations if AI growth falters, increasing systemic risk across the industry.