OpenAI weighs leasing Ohio data center with Nvidia backing, The Information reports (June 9)
1 min read
The story
The Information reports OpenAI is considering leasing a large Ohio data center facility with backing from Nvidia, adding to a string of major AI infrastructure commitments across hyperscalers and frontier model labs. This follows OpenAI's broader push to secure dedicated compute capacity as demand for training and inference GPUs continues to outpace available supply.
For Nvidia, any large-scale OpenAI data center buildout is incremental GPU demand — the company already posted $215.9B in revenue (+65.5% YoY) with 71.1% gross margins and $4.90 diluted EPS in FY2026, numbers that reflect near-monopoly pricing power in AI accelerators. The key question is whether this deal is already baked into Nvidia's forward estimates or represents upside to an already-rich multiple.
The case — both sides
Nvidia's FY2026 financials — $215.9B revenue, 71.1% gross margin — show pricing power that expands with every new large-scale AI data center commitment, and an OpenAI/Ohio buildout would represent incremental GPU orders on top of already-record demand.
At Nvidia's current revenue run-rate and margins, sell-side consensus is already heavily skewed bullish, meaning this incremental deal is likely priced in and the stock offers limited new upside relative to execution risk at a stretched valuation.
The house read
Two-sidedThe question for NVDA is whether an OpenAI data center expansion with Nvidia backing adds meaningful upside to already-elevated forward estimates, or is simply confirming a demand story the market has long priced in.
Wrong ifIf the deal is unconfirmed or smaller than implied, or if broader AI capex narratives cool (macro tightening, model efficiency gains reducing GPU intensity), the premium multiple compresses and recent gains reverse quickly.
Published read · research, not advice