Nvidia Pauses Some Cloud Revenue-Sharing Deals, Report Says

Nvidia has paused some revenue-sharing agreements with cloud providers that involve building artificial intelligence compute clusters, according to a report from The Wall Street Journal citing people familiar with the matter.

The pause reportedly reflects concerns that the arrangements could attract antitrust scrutiny. The program has not been canceled, however, and the reported pause may apply only to some initiatives.

Nvidia announced the revenue-sharing model in July 2026. Under the arrangement, the chip designer acts as a financial backstop for companies deploying large-scale AI clusters in exchange for a share of the operating revenue. Nvidia also agrees to rent unused GPUs back at a fixed rate.

Firmus and Sharon AI were among the first companies to adopt the offer. Firmus is deploying 170,000 GPUs in Batam, Indonesia, while Sharon AI is deploying 40,000 GB300 GPUs.

Nvidia said the business model remains active and is continuing to evolve in response to demand for compute access across the AI ecosystem.

The reports followed Nvidia's second-quarter earnings announcement. The company reported revenue of $96.2 billion, an increase of 18 percent from the previous quarter and 106 percent from a year earlier. GAAP and non-GAAP gross margins were both 75 percent.

The earnings disclosures also showed that Nvidia had entered into $108.5 billion in guarantees and other agreements intended to support AI cloud computing. Of that amount, $3.5 billion covered land, power, and shell guarantees for AI cloud facilities. The remaining $105 billion was allocated to SB Energy Corp for OpenAI's Ohio campus.