Nvidia deliberately kept GPU prices high through circular financing deals

Nvidia allegedly used circular financing deals to artificially inflate GPU prices during the AI boom, with former CEO Jensen Huang and CFO Colette Kress financing their own customers' purchases to absorb excess semiconductor inventory and maintain high prices. The company eventually scaled back these financing arrangements in mid-2026 after concerns about overextension, but the strategy had already contributed to severe GPU price inflation, with consumer cards like the RTX 5090 becoming scarce as production was diverted to data center products. Following Huang's resignation, these previously undisclosed practices have drawn comparisons to Enron's controversial accounting tactics.