OpenAI teams up with SoftBank and Oracle on $500B data center project
OpenAI, SoftBank, and Oracle launch a $500B AI data center project in the U.S., creating jobs and boosting infrastructure.

OpenAI, SoftBank, and Oracle announce The Stargate Project, a $500 billion venture to build AI data centers in the U.S., starting with Texas. They highlight the potential to create hundreds of thousands of jobs and fortify U.S. AI leadership. Meanwhile, key figures like Masayoshi Son, Sam Altman, and Larry Ellison, as well as President Trump, emphasize infrastructure investment.
Microsoft, acting as a tech partner, joins forces with Arm, Nvidia, and MGX in this initiative. SoftBank and MGX collaborate financially while OpenAI oversees operations. Notable plans include building OpenAI-designed chips, expected to be collaborative efforts with Broadcom and TSMC for models by 2026.
SoftBank and Oracle's backing includes previous funding commitments to OpenAI, while critics point to the strained water, power demands, and environmental impacts of data centers. Still, investment forecasts by McKinsey anticipate capital spending could reach $250 billion on data center systems in the next five years. President Trump and global entities like DAMAC Properties show interest in boosting U.S. data infrastructure.