SANTA CLARA, Calif. — Nvidia plans to invest up to $3 billion in Lancium, the Texas-based power infrastructure developer behind the Stargate artificial intelligence data center campus, The Information reported, citing people familiar with the matter.
Nvidia would initially invest $2 billion for a stake of about 20% in Lancium, with the chipmaker potentially providing another $1 billion if the company meets certain targets, including securing grid connections, according to the report. Nvidia and Lancium did not immediately respond to Reuters requests for comment.
The proposed investment would value Lancium and its portfolio of land and power connections at about $10 billion, The Information reported. The funding is expected to support Lancium's expansion as the company considers a potential initial public offering in 2027, according to the report.
Lancium has been expanding its Texas data center footprint as demand for computing capacity to support artificial intelligence accelerates. In July, Lancium and Crusoe announced plans for a 1-gigawatt AI data center campus in Childress, Texas. Lancium said it would own the 270-acre site, secure and manage its energy infrastructure, while Crusoe would design, build and operate the data center. Construction was expected to begin in the third quarter of 2026.
Lancium and QTS Data Centers also announced in July a separate campus in Hall County, Texas, with the companies saying the project could bring more than $10 billion in capital investment to the region.
Lancium owns the 1,000-acre Lancium Clean Campus in Abilene, Texas, which serves as the first operational site of the Stargate initiative, according to Reuters. Stargate is a joint venture involving OpenAI, Oracle and SoftBank to develop data center infrastructure for artificial intelligence.
The reported investment would deepen Nvidia's involvement in the infrastructure supporting AI computing beyond its core business of supplying processors and networking technology. In May, Nvidia announced a separate strategic partnership with IREN that included a five-year right to purchase up to $2.1 billion of IREN shares and plans to support deployment of as much as 5 gigawatts of Nvidia-aligned AI infrastructure, including projects at IREN's Texas campus.
No formal announcement of the reported Lancium investment had been made by Nvidia or Lancium as of Aug. 10.
