--- title: Premium: The Hater's Guide To NVIDIA (Part 2) | daily.dev description: Ed Zitron argues that NVIDIA is best compared not to Enron but to GE Capital under Jack Welch. Rather than doing direct vendor financing, NVIDIA has engineered... canonical: https://daily.dev/posts/premium-the-hater-s-guide-to-nvidia-part-2--vz6busrwt twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Premium: The Hater's Guide To NVIDIA (Part 2) | daily.dev og:description: Ed Zitron argues that NVIDIA is best compared not to Enron but to GE Capital under Jack Welch. Rather than doing direct vendor financing, NVIDIA has engineered... og:url: https://daily.dev/posts/premium-the-hater-s-guide-to-nvidia-part-2--vz6busrwt og:image: https://api.daily.dev/og/posts/vZ6BUsrwT.png og:image:alt: Premium: The Hater's Guide To NVIDIA (Part 2) og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Premium: The Hater's Guide To NVIDIA (Part 2) **[Where's Your Ed At](https://daily.dev/sources/wheresyoured)** · 10 min read · 2 upvotes · 0 comments ## Summary Ed Zitron argues that NVIDIA is best compared not to Enron but to GE Capital under Jack Welch. Rather than doing direct vendor financing, NVIDIA has engineered a circular system: it invests in neoclouds like CoreWeave, Nebius, and IREN, backstops their leases and IPOs, and then becomes one of their largest customers — all while those companies raise tens of billions in debt to buy NVIDIA GPUs. Jensen Huang has publicly acknowledged this model, stating that without NVIDIA's support these neoclouds would not exist. Zitron contends that NVIDIA is no longer primarily a technology company but an asset management and marketing firm that uses its AA- credit rating to backstop massive data center deals, including a reported $50 billion Texas lease and talks around a $250 billion Ohio compute facility. The piece warns that NVIDIA's extraordinary revenue growth requires perpetual acceleration, and that its customers are driven by FOMO rather than genuine demand, echoing the dynamics that eventually brought down GE Capital. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### How does NVIDIA fund neocloud companies like CoreWeave without doing direct vendor financing? NVIDIA acts as an early-stage investor, IPO anchor, post-IPO investor, and customer of neoclouds like CoreWeave, Nebius, and IREN, while also backstopping data center leases. This lets NVIDIA achieve the same effect as vendor financing—guaranteeing GPU purchases—without carrying the debt risk itself, since investors and banks fund the neoclouds directly instead. _Anyone evaluating AI infrastructure financing risk can follow ongoing NVIDIA and neocloud coverage on daily.dev._ ### What did Jensen Huang say about NVIDIA's role in keeping neoclouds like CoreWeave and Nebius in business? In an April 2026 interview with Dwarkesh Patel, Jensen Huang said that without NVIDIA's support, CoreWeave, Nscale, and Nebius would not exist or be where they are today, adding that NVIDIA's strategy is to support many neoclouds rather than pick a single winner, saying either support all of them or none. _Developers tracking how AI infrastructure spending shapes GPU access can follow this story on daily.dev._ ### How much is NVIDIA reportedly involved in financing data center deals with Hut 8 and a proposed Ohio facility? NVIDIA reportedly signed leases worth as much as $50 billion for a Texas-based data center built by Hut 8, likely for Anthropic capacity, and is separately in talks to backstop $250 billion in compute costs for a still-theoretical 10GW data center in Ohio, according to Financial Times reporting. _Those weighing AI infrastructure exposure can keep tabs on deals like this via daily.dev._ ## Similar posts on daily.dev - [NVIDIA Isn't Enron](https://daily.dev/posts/nvidia-isn-t-enron-vjns71xp5) · Where's Your Ed At · 11 upvotes · 0 comments - [Nvidia’s ‘I’m Not Enron’ memo has people asking a lot of questions already answered by that memo](https://daily.dev/posts/nvidia-s-i-m-not-enron-memo-has-people-asking-a-lot-of-questions-already-answered-by-that-memo-qlth2yvxm) · The Verge · 0 upvotes · 0 comments - [Nvidia, CoreWeave, and Nebius: Inside the Circular Financing of the GPU Boom](https://daily.dev/posts/nvidia-coreweave-and-nebius-inside-the-circular-financing-of-the-gpu-boom-tiepbgsbn) · Hacker News · 0 upvotes · 0 comments - [Nvidia now holds $99bn in shares of the companies that buy its chips](https://daily.dev/posts/nvidia-now-holds-99bn-in-shares-of-the-companies-that-buy-its-chips-kkigsfsww) · The Next Web · 0 upvotes · 0 comments --- Tags: [#venture-capital](https://daily.dev/tags/venture-capital), [#nvidia](https://daily.dev/tags/nvidia), [#gpu](https://daily.dev/tags/gpu), [#ai-infrastructure](https://daily.dev/tags/ai-infrastructure) [View this post on daily.dev](https://daily.dev/posts/premium-the-hater-s-guide-to-nvidia-part-2--vz6busrwt) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Premium: The Hater's Guide To NVIDIA (Part 2)","url":"https://daily.dev/posts/premium-the-hater-s-guide-to-nvidia-part-2--vz6busrwt","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/premium-the-hater-s-guide-to-nvidia-part-2--vz6busrwt"},"datePublished":"2026-08-07T17:34:46.421Z","dateModified":"2026-09-13T20:08:11.763Z","description":"Ed Zitron argues that NVIDIA is best compared not to Enron but to GE Capital under Jack Welch. 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