ChainCatcher report: NVIDIA CEO Jensen Huang defended the company’s growing role in financing the AI ecosystem on CNBC’s “Mad Money,” calling investment in cutting-edge labs a “once-in-a-generation” opportunity with low risk. He noted that critics overlook a key point: these are the first startups requiring hundreds of billions of dollars in funding, as building and deploying AI is extremely capital-intensive. NVIDIA has invested in model companies such as OpenAI and Anthropic, as well as new cloud service providers, and has provided financial support for data center projects—including $105 billion in backing for a large computing campus in Ohio, with OpenAI as a tenant—and has partnered with Wall Street institutions to arrange up to $500 billion in data center financing. In response to criticism of “circular financing” and comparisons to the internet bubble, Huang stated that NVIDIA aims to become an equity investor in frontier AI labs and provide broader support, as these companies lack investment-grade credit ratings and a track record of low-cost financing. He emphasized that the capital already invested will generate substantial returns with low risk, since the underlying computing infrastructure can be redeployed to other customers and workloads if the supported companies encounter difficulties. NVIDIA just reported better-than-expected results for its second quarter of fiscal year 2027: revenue of $96.2 billion, more than doubling year-over-year; data center revenue increased 117% to $89 billion; and the company forecasts approximately 70% revenue growth for fiscal year 2028. Following the announcement, the stock rose about 4% in after-hours trading.
NVIDIA CEO Defends AI Ecosystem Financing, Cites Low Risk
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Summary
NVIDIA CEO Jensen Huang defended the company’s AI ecosystem financing strategy on CNBC, calling it a “once-in-a-generation” opportunity with low risk appetite. He highlighted investments in OpenAI and Anthropic, $105 billion for an AI data center park in Ohio, and $500 billion in data center financing with Wall Street. On-chain data shows NVIDIA’s Q2 FY2027 revenue reached $96.2 billion, more than 100% year-over-year, with data center revenue at $89 billion. Shares rose 4% after hours.
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