Amazon plans $8 billion off‑balance‑sheet deal for Nvidia Blackwell chips
Amazon is negotiating to move roughly $8 billion of Nvidia Grace Blackwell chips into a special‑purpose vehicle. The company would lease the chips back while offering investors up to a 10% equity stake in the vehicle. The structure is intended to reduce capital expenditures on data‑center hardware and lighten Amazon’s balance sheet. The plan was reported by the Financial Times and confirmed by Amazon’s recent capex guidance.
Why it matters
The company says the transaction could ease short‑term free‑cash‑flow pressure from its $220 billion capex plan this year (material [2]). Investors may view the asset‑light financing as a positive for Amazon’s balance sheet, while Nvidia could benefit from continued large‑scale chip purchases.
Key facts
- 1Amazon is seeking to offload about $8 billion of Nvidia Grace Blackwell chips to outside investors. benzinga.com
- 2The deal would involve a special‑purpose vehicle that raises debt and offers investors up to 10% equity. benzinga.com
- 3Amazon expects roughly $220 billion in cash capex this year, most of it for AI and AWS. tikr.com
- 4AWS revenue grew 36.7% in the last quarter. tikr.com
- 5Amazon shares were trading at $251.70, down 0.07% at the time of the report. benzinga.com
Summary written by AlphAI from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.