Amazon seeks to offload $8 billion of Nvidia chips to investors, FT reports

Amazon is discussing a plan with investors to purchase $8 billion worth of Nvidia Grace Blackwell AI chips, then lease them back. This would allow Amazon to remove the hardware costs from its balance sheet. Nvidia's chips are central to the proposed arrangement.

Amazon plans to sell $8B of Nvidia chips via a special purpose vehicle to optimize its balance sheet. The move is part of its strategy to reduce assets and fund data center investments. Nvidia is reportedly undervalued, with a GF Value of $400.04 vs. current price of $230.86, and a GF Score of 96/100. Amazon's capital expenditures are projected at $220B this year, with significant spending on chips and AI data centers.

Amazon plans to sell $8 billion of Nvidia chips to investors via a special purpose vehicle, leasing them back, according to the Financial Times. The move aims to reduce balance sheet strain from data center costs. Amazon will spend $200 billion on capital expenditure this year, primarily for its cloud unit.

Amazon (AMZN) plans to sell $8B of Nvidia (NVDA) chips to investors via a special-purpose vehicle, according to the Financial Times. The move aims to bolster Amazon's balance sheet amid rising AI investments. The company has reportedly held discussions with potential investors recently.

Amazon and Constellation agreed to a 20-year deal to expand Maryland's Calvert Cliffs nuclear plant, investing over $3 billion. The plant, Maryland's largest clean energy source, will add 190 MW of capacity by 2032. The agreement supports Amazon's regional operations and ensures the plant's operation for another 20 years, bolstering grid stability.

Amazon (AMZN) signed a 20-year deal with Constellation (CEG) for $3B to expand a nuclear facility, adding regional energy capacity. This highlights AI companies' focus on securing long-term energy. NuScale Power (SMR) may benefit as AI firms partner with utilities for nuclear power solutions.