Nvidia's $500 Billion Financing Plan Hits a Wall: Wall Street Wants Bigger Chip Guarantees
Nvidia wants Wall Street to start treating its chips like real estate. Two months into the chipmaker’s most ambitious financing experiment, Wall Street is pushing back, and asking Nvidia to put more of its own money on the line. An Oct. 1 Reuters report found lenders want bigger guarantees than Nvidia originally offered before they’ll treat GPUs as reliable long-term collateral. As of that date, zero transactions had closed under the plan, and some bankers are asking for investment-grade customer contracts or a broader Nvidia guarantee before they’ll fund the loans. ...