Technology

OpenAI, Oracle, SoftBank plan five new AI data centers for $500 billion Stargate project

OpenAI, Oracle, SoftBank plan five new AI data centers for $500 billion Stargate project

U.S. President Donald Trump in January hosted top tech CEOs to launch Stargate, a private-sector initiative that plans to spend up to $500 billion to build AI infrastructure.
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AI is a priority for Trump and tech companies that are pouring billions into building the computers that are necessary to power the technology.
ChatGPT-maker OpenAI said on Tuesday it will open three new sites with Oracle in Shackelford County, Texas, Dona Ana County, New Mexico and an undisclosed site in the Midwest. Two more data center sites will be built in Lordstown, Ohio and Milam County, Texas by OpenAI, Japan’s SoftBank and a SoftBank affiliate.
The $500 billion project was intended to generate 10 gigawatts in total data center capacity.
“AI can only fulfill its promise if we build the compute to power it,” OpenAI CEO Sam Altman said in a statement.
OpenAI and partners plan to use debt financing to lease chips for the Stargate project, people familiar with the matter said.
AI’s role in sensitive sectors such as defense and China’s push to catch up have made the nascent technology a top priority for Trump.
Reporting by Nilutpal Timsina and Angela Christy in Bengaluru and Deepa Seetharaman in Abilene; Editing by Shinjini Ganguli