How Neo-Cloud makes money
A circular structure of building data centers with GPU-backed loans and paying them off with rental income
Supply
NVIDIA
GPU sales
Procurement
GPU collateral
Loans/Bonds
Construction
Data center
Construction/Operation
Revenue
GPU rental fees
Customer usage fees
Repayment
Interest/Principal
Reinvestment
Points of controversy regarding circular transactions — NVIDIA acts as a GPU supplier, a major shareholder of Neo-Cloud (like CoreWeave), and simultaneously serves as a source of funding for its customers. Critics point out that when supply, equity, and capital are intertwined, it becomes difficult to distinguish whether 'demand' is genuine.