In a unique move, SB Energy, a SoftBank subsidiary focused on power and data centers, awarded OpenAI warrants that have surged in value to $5.5 billion, securing OpenAI’s commitment to a 20-year lease on a sprawling new data center project in Ohio. This arrangement underscores the growing integration of AI and infrastructure investments within the SoftBank ecosystem.
- SB Energy issued $5.5 billion in warrants to OpenAI as part of a 20-year lease.
- The Ohio campus will have 10 gigawatts of capacity, larger than the energy use of some mid-sized countries.
- SoftBank, OpenAI, and Nvidia’s financial ties create a circular investment structure.
What happened
SB Energy, a subsidiary of SoftBank that develops power and data center infrastructure, granted OpenAI warrants initially valued at $3.6 billion in January 2026, which had appreciated to $5.5 billion by June. These warrants were issued to incentivize OpenAI to commit to a 20-year lease on SB Energy’s planned data center campus in southern Ohio, a site designed to provide 10 gigawatts of electrical capacity scheduled to begin operations in 2028.
The Ohio campus represents a massive infrastructure investment, with OpenAI and SoftBank each investing $500 million in SB Energy alongside a separate lease on a 1.2-gigawatt Texas data center. The arrangement is part of a broader strategic alignment involving key players including Nvidia, which has considered a $3 billion investment tied to the Ohio project. This creates a circular ownership and financial relationship among the chip maker, AI model company, power developer, and parent company SoftBank.
Why it matters
The scale of this investment highlights the critical importance of energy infrastructure to support the rapid growth of AI workloads. The 10 gigawatt Ohio campus equates to the power demand of a mid-sized European country, underscoring the extensive resources required by cutting-edge AI development and deployment.
This financial arrangement using warrants allows SB Energy to defer upfront cash payments while giving OpenAI a stake in the underlying equity’s future value. With OpenAI expected to hold a single-digit stake in SB Energy after its planned $5 to $7 billion IPO, the structure aligns the interests of tenant and landlord, and signals SoftBank’s commitment to controlling both AI model development and foundational physical infrastructure.
What to watch next
Market observers should monitor SB Energy’s IPO progress slated to seek up to $7 billion, which will recalibrate ownership stakes and potentially impact valuation given OpenAI’s expected shareholder position. Additionally, developments in Nvidia’s investment and financing agreements related to the Ohio site will shed light on the sustainability of this joint venture model amid tightening capital availability for data center projects.
The operational ramp-up of the Ohio campus by 2028 will be a key milestone for the AI industry, testing the integration of massive energy supply with next-generation computing infrastructure. How demand for AI compute evolves and how these complex financial arrangements endure or adjust could shape future approaches to infrastructure investment in the AI sector.