Lambda secures $500 million loan with Nvidia chips as collateral

FILE PHOTO: A smartphone with a displayed NVIDIA logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

(Reuters) - Lambda has secured a $500 million loan from lenders including Macquarie Group with Nvidia's much-coveted chips as collateral, the specialty artificial intelligence cloud provider said on Thursday.

Startups addressing the towering need for chips and software that can support AI's complex computing requirements have been luring private investors.