President Donald Trump has announced a private sector investment of up to $500 billion for building artificial intelligence (AI) infrastructure with the goal of staying competitive against rival nations in technological advances. This joint venture is called Stargate and the goal is to build data centers while also creating over 100,000 jobs in the U.S.
OpenAI, Softbank, and Oracle are among some of the equity backers of Stargate and they have committed $100 billion towards immediate deployment of the initiative. The remaining investment is expected to happen in the next four years.
Joining President Trump at The White House for the announcement included SoftBank CEO Masayoshi Son, OpenAI CEO Sam Altman, and Oracle Chairman Larry Ellison. The initial equity funders in Stargate included SoftBank, OpenAI, Oracle, and MGX. And SoftBank and OpenAI are the lead partners for Stargate, with SoftBank having financial responsibility and OpenAI having operational responsibility. Masayoshi Son will be the chairman. And Arm, Microsoft, NVIDIA, Oracle, and OpenAI are the key initial technology partners for Stargate. The buildout is now underway, starting in Texas, and the organization is evaluating potential sites across the country for more campuses as the definitive agreements are finalized. Around 20 data centers will be built at about 500,000 square feet each.
President Trump plans to remove the barriers for enabling for the creation of more data centers. And President Trump also said he would make emergency declarations to enable Stargate to generate its own electricity. One of the most notable uses of AI would be linked to electronic health records, according to Ellison.
“This project will not only support the re-industrialization of the United States but also provide a strategic capability to protect the national security of America and its allies,” said Oracle in a statement.
