Nvidia plans to invest up to $3 billion in Lancium, the Texas-based power infrastructure developer behind the Stargate data centre campus, according to a report.
The chipmaker is expected to make an initial investment of $2 billion for a stake of roughly 20% in Lancium, which is backed by Blackstone, the report said. Nvidia could commit a further $1 billion if Lancium meets certain thresholds, including grid hookups.
Under the proposed transaction, Lancium and its portfolio of land and power connections would carry an enterprise value of around $10 billion, according to reports.
The investment would provide Lancium with additional capital as it expands its operations and considers a potential initial public offering in 2027, the report said, citing people familiar with the matter.
Lancium has emerged as a key infrastructure player in the development of AI data centre capacity. The company owns the 1,000-acre Lancium Clean Campus in Abilene, Texas, which serves as the first operational site of the Stargate initiative.
Stargate is a joint venture between SoftBank, OpenAI and Oracle focused on building data centres. The project was announced in January by U.S. President Donald Trump, who said the companies would invest up to $500 billion to develop infrastructure for artificial intelligence.
The potential Nvidia investment comes as AI infrastructure developers face growing requirements for computing capacity as well as reliable power and grid connectivity. Lancium’s land holdings and power connections therefore form a central part of the proposed transaction’s valuation.
If completed as reported, Nvidia’s investment would deepen its involvement in the infrastructure supporting AI computing while providing Lancium with significant funding to expand its portfolio and pursue its longer-term growth plans, including a potential 2027 IPO.
