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Nvidia is revising how some proposed AI-cloud revenue-sharing deals are structured, according to an October 5, 2026 report by The Information. That does not mean the AI Compute Partnership has been canceled: Nvidia said in August that the model remained in place and continued to evolve. The reported changes reflect a tension at the center of the arrangement: providers may value Nvidia’s revenue guarantee, but some would rather retain rental margins or rely on other financing.
What Nvidia’s revenue-sharing arrangement does
Building an AI data center requires substantial investment before a provider has rented all of its computing capacity. Nvidia CFO Colette Kress described the AI Compute Partnership as a way to support financing for part of a facility’s capacity: Nvidia makes a take-or-pay commitment that provides a minimum revenue floor, and in return receives a share of revenue earned above that floor.
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In Kress’s words, “NVIDIA provides a take-or-pay commitment on a portion of the facility’s capacity, a minimum revenue guarantee that gives lenders the confidence to underwrite the project, and in exchange, we share in a portion of the neoclouds revenue earned above that floor.” The commitment can help a lender assess a project, but it is not a loan from Nvidia. Kress said, “Independent capital still underwrites every deal on its own merits. We’re not making loans.” (Nvidia Q2 FY2027 earnings-call transcript, August 26, 2026.)
How the revenue floor and share work
- Nvidia commits to capacity. The commitment covers a portion of a facility’s capacity, rather than guaranteeing that the provider will fill the entire facility.
- The commitment establishes a minimum revenue level. That floor is intended to give lenders more confidence in underwriting the project.
- Nvidia shares in revenue above the floor. If the provider earns more by renting capacity to customers, Nvidia receives an agreed share of the above-floor revenue.
The model therefore links Nvidia’s commitment to subsequent rental economics: the provider gets a revenue backstop for some capacity, while Nvidia can participate in revenue generated when that capacity is rented out. The public statements do not disclose the share percentages or the detailed terms of individual contracts.
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What Nvidia has disclosed about scale
On its August 26 earnings call, Nvidia said it had $36 billion in AI-cloud commitments as of July 26, 2026, typically across six-year terms. That is a figure for commitments, not revenue already realized. The transcript does not establish the counterparties behind the full total or provide a breakdown by provider.
What Nvidia is reportedly changing
The Information reported on October 5, 2026 that Nvidia is reconsidering the structure of its AI Compute Partnership and adjusting some term sheets and contracts. It described Nvidia as trying to make the terms attractive to cloud providers without making smaller participants too financially dependent on Nvidia. The report is based on people involved in discussions; it does not announce a final redesign or provide the revised contract terms.
The practical issue is how to balance the value of Nvidia’s revenue floor against the share of rental revenue a provider gives up. The Information reported that some established providers, including Nebius, declined to participate because they did not want to reduce potential margins and could raise debt through other means. It also reported Nvidia’s concern that some interested providers might become too dependent on the company. Those are reported motivations, not publicly disclosed contract provisions.
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| Provider’s situation | Potential appeal of the arrangement | Potential concern |
|---|---|---|
| Has access to debt or other financing | May still value a minimum revenue commitment for some capacity. | May prefer outside financing to sharing rental revenue and giving up potential margin. |
| Needs a revenue backstop to support financing | The minimum revenue floor may help lenders underwrite the project. | Reliance on Nvidia’s commitment could become a financial concern, particularly for a smaller provider. |
This is a qualitative comparison, not a calculation of which option is cheaper. The cited reporting does not give comparable financing rates, revenue-share percentages, or final contract terms, so the size of the trade-off cannot be quantified from the public information.
Has Nvidia canceled the program?
No cancellation has been reported. The best-supported description is that Nvidia is reconsidering or revising some deal terms while the broader model remains active. The Information’s October 5 report concerns changes to the structure and to some term sheets and contracts; it does not say the overall program has ended.
There was an earlier report of a pause. On August 27, Reuters reported, citing a Wall Street Journal report and people familiar with the matter, that Nvidia had paused some deals. Reuters also reported employee concerns about possible antitrust scrutiny and the degree of control Nvidia might exert over customers’ business practices. Those were reported concerns, not a finding of unlawful conduct.
An Nvidia spokesperson told Reuters: “The new business model we introduced in July that opens up compute access to the fast-growing AI ecosystem is still in place and continues to evolve due to high demand.” The August pause report and October account of changing terms can both be true: some proposed deals may be paused or reworked even as the broader business model continues. Neither report establishes a definitive redesign or cancellation. (Reuters report, August 27, 2026.)
What remains undisclosed
- The percentage of above-floor rental revenue Nvidia receives.
- The final terms of any revised agreement and which counterparties accepted them.
- How the $36 billion commitment total is distributed among providers.
- Whether Nvidia’s reported changes will produce a settled redesign of the program.
Until those details are disclosed, the public record supports describing the change as a reconsideration of some deals—not a known shift to a particular revenue split or a termination of the partnership.
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