Nvidia in talks to backstop Nscale's 460MW Monarch project with $5bn guarantee

Nvidia is negotiating a credit guarantee worth more than $5 billion to backstop Nscale's 460MW data center build-out for Anthropic in West Virginia, according to a report by The Information citing people with knowledge of the discussions.

The agreement would see Nvidia act as guarantor on debt Nscale raises for the project, covering the bill should the operator default on payments. That guarantee would cover power and construction costs for the first data center building Anthropic contracted — a facility that will house Nvidia Vera Rubin hardware.

How did the Anthropic deal come together?

Nscale signed its second contract with Anthropic in October 2026. Both agreements carry a value of roughly $45 billion each and reserve 460MW of capacity apiece at the upcoming Monarch Compute Campus in West Virginia.

The combined footprint of the two contracts makes Anthropic the anchor tenant of Nscale's largest project to date.

What is the Monarch Compute Campus?

Nscale acquired the 2,250-acre site in March 2026. The location supports up to 8GW of capacity at full build-out. Phase one is planned at 2GW, with the first capacity expected online in the first half of 2028.

Power will come from Caterpillar G3500 fast-response natural gas generator sets rather than grid supply alone, an arrangement that shapes both the project's cost structure and its construction timeline.

In plain terms: a single-site project sized at 8GW would rank among the largest data center campuses under development in the United States.

Why is Nvidia stepping in?

The reported backstop fits an established pattern. Nvidia has invested an estimated $170 billion in neoclouds and large customers, in many cases through credit guarantees for their build-outs. The chip designer is a major investor in several neoclouds, which are themselves among its biggest customers — a loop in which Nvidia's capital de-risks the facilities that buy its hardware.

The Vera Rubin deployment specified for the Anthropic building sits inside that loop: the guarantee secures the debt, the debt funds the building, and the building houses Nvidia silicon.

A parallel move surfaced in late October, when Nvidia was reportedly in talks to invest several hundred million dollars in Australian neocloud Firmus after that company withdrew from its own IPO.

Where does Nscale stand financially?

Nscale filed for an Initial Public Offering in September 2026. Later that month, the company raised $3.36 billion in private funding.

The Nvidia guarantee would arrive ahead of that listing, strengthening Nscale's ability to raise project debt on the Monarch build-out at a moment when capital markets are scrutinizing AI infrastructure lending.

DCD has contacted both Nscale and Nvidia for comment.

If signed, the agreement would convert a reported negotiation into one of the largest single-project credit backstops Nvidia has extended to a data center operator.

• Contract values: two Anthropic agreements at ~$45 billion each, 460MW apiece
• Site: 2,250 acres acquired March 2026; up to 8GW potential; phase one 2GW online by H1 2028
• Power: Caterpillar G3500 natural gas generator sets
• Guarantee: >$5bn, covering power and construction of the first Anthropic-contracted building
• Nscale financing: IPO filed September 2026; $3.36bn private raise that same month
• Nvidia pattern: ~$170bn invested across neoclouds and large customers; reported talks with Firmus in late October