Rumor has it that Nvidia (NVDA.US) signed a $50 billion Texas data center lease, which may pave the way for AI computing power expansion

The Zhitong Finance App learned that according to foreign media reports, Nvidia (NVDA.US) has signed a 15-year lease agreement for a data center in Texas, with a contract value of about 19.6 billion US dollars; if the right to renew the contract is exercised, the total value of the 30-year lease period will reach 50 billion US dollars.

The facility is being developed by Hut 8, and has a planned capacity of 1 gigawatt (GW). Hundreds of thousands of Nvidia graphics processors (GPUs) will be deployed, and power supply guarantees have been implemented.

Hut 8 revealed last week that the contract value for its Beacon Point campus in New York County, Texas was $19.6 billion (including a 3.0% annual rent increase) during the 15-year basic lease period; if customers exercise the full renewal option, the total value for 30 years will rise to $50.2 billion. At the time, Hut 8 did not reveal the identity of the tenant, but only referred to it as an “existing investment-level customer”. It will install computing equipment in the park to support large-scale AI training and operation.

According to foreign media confirmation, the tenant is Nvidia. Hut 8 was originally a Bitcoin miner and later transformed into AI data center development. The park is designed according to the Nvidia DSX AI factory reference architecture and is specifically built for gigawatt-scale AI infrastructure. Hut 8 announced on July 20 that the Beacon Point Park has been fully commercialized for lease.

The lease marks a major shift in Nvidia's strategy — from a simple chip seller to a physical infrastructure that directly controls the chip's operation.

A person familiar with Nvidia's strategy said, “The scale of this commitment reflects the structural demands we see in our customer base for AI computing.” An Nvidia spokesperson responded that the company is “collaborating with ecosystem partners to accelerate the deployment of efficient AI infrastructure through the DSX AI factory architecture.”

The report said that after the project is completed, Nvidia may sublease part of the data center's capacity to its “Neocloud” partners — these partners will provide AI cloud computing services to the outside world after purchasing Nvidia GPUs.

Also, according to related reports, the AI chip giant is allegedly in negotiations to provide about 250 billion US dollars in financial support for OpenAI as part of the latter's large-scale data center project in Ohio.