Nvidia to Invest Up to $3 Billion in Lancium, Taking 20% Stake

Takes 20% stake, with additional investment planned

Move aims to strengthen the AI data-center ecosystem

Nvidia will invest up to $3 billion in power infrastructure developer Lancium as it deepens its push into the electricity networks needed to run artificial-intelligence data centers.

The Information reported on August 8 that Nvidia will spend $2 billion to acquire a 20% stake in Lancium. It also agreed to invest an additional $1 billion if Lancium meets conditions including grid interconnection. The deal values Lancium at about $10 billion, including its land holdings and grid-connection portfolio.

Lancium is a privately held company that secures and develops sites and power infrastructure needed to build AI data centers. It is also involved in Stargate, a $500 billion data-center project backed by OpenAI, Oracle and SoftBank.

The investment highlights Nvidia's effort to reinforce the AI infrastructure ecosystem with the cash it generates. Sites and grid access are essential to operating data centers equipped with Nvidia graphics processing units. The stake in Lancium gives Nvidia greater ability to support that infrastructure.

Last month, Nvidia also signed a long-term agreement to lease a hyperscale data center being built by Hut 8 for as much as $50 billion. The facility has already secured power, which has recently become harder to obtain, and the deal is aimed at helping customers secure computing capacity.

Kim In-yeop, Silicon Valley correspondent, Hankyung.com, inside@hankyung.com