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Nvidia Pauses Plan to Profit Twice on Chip Sales to Smaller Cloud Providers

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Nvidia outlined a deal structure to earn a second time on each chip sold to smaller cloud providers by guaranteeing or renting unused capacity, then taking 50% of the related cloud revenue above a floor. Less than two months later, the plan was paused amid internal warnings about possible antitrust scrutiny. Data Center revenue rose to $89.023B, while guarantee obligations totaled $108.5B with major capital partners.

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