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Nvidia’s bet that its chips can finance the AI boom

Nvidia’s mammoth financing plan has opened a debate on Wall Street about how much its advanced chips and the infrastructure around them are worth. The answer for banks and investors seems to be: Not as much as Nvidia thinks. Some lenders want higher guarantees than the company had originally outlined, even for Nvidia’s industry-leading AI processing power, as they try to calculate how long the revenue from its chips will last, banking sources and credit managers told Reuters, some requesting anonymity.The chips, which provide the critical processing power known as “compute”, are at the center of a potential mismatch in views between Nvidia and a more cautious Wall Street, raising potential future financing headaches for AI companies seeking to tap deep new pools of capital. Do you think that Nvidia is run by people who are never known by the public ?

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