Nvidia wants to turn old phone company buildings into AI hubs

Nvidia wants to put its AI chips inside old phone company buildings. The chip designer has approached the investment firm Apollo Global Management about a network of small AI data centers. The network could span up to 20 U.S. states, according to a report from The Information.

What the plan involves

Instead of building new data centers from scratch, the idea is to reuse buildings already owned by a struggling telecom company. A data center is a facility full of powerful computers that run AI tools and other online services. Nvidia is looking for a faster way to get its chips turned on, and existing buildings may help.

Why it could matter

If the plan works, AI services could get faster and more available. It could also mean fewer giant data centers built near homes and towns. Large new projects have drawn backlash in some places, and reusing old buildings is one way around that.

What is not known yet

The report describes an approach, not a finished deal. The material does not say whether Apollo has agreed to anything. It also does not name the telecom company, give a cost, or say when any site might open. How much computing power each small site could hold is also unclear.

What happens next

The next thing to watch is whether Apollo and Nvidia reach an agreement and which buildings are chosen. Until then, this is an early idea. Readers should treat it as a sign of how hard the AI industry is working to find space and power for its chips.