OpenAI picks Texas for 'flagship' data center in Stargate project
Feb 06, 2025 - fastcompany.com
OpenAI, in collaboration with SoftBank, has designated Texas as the flagship site for its Stargate project, which aims to establish data centers across the United States. The initiative has garnered interest from 16 states and plans to invest up to $500 billion to maintain the U.S.'s competitive edge in the global AI industry. The project is expected to generate over 100,000 jobs and is part of a broader private sector investment initiative announced by President Donald Trump to bolster AI infrastructure and outpace international competitors.
The Stargate project has already secured $100 billion from various equity backers for immediate use, with additional investments anticipated over the next four years. Initial construction of data centers has commenced in Texas, as confirmed by Oracle Chairman Larry Ellison. This large-scale investment underscores the strategic importance of AI technology and infrastructure in maintaining the United States' leadership in this critical field.
Key takeaways:
OpenAI and SoftBank are collaborating on the Stargate project, with Texas as the flagship data center site.
Stargate plans to invest up to $500 billion to maintain the U.S.'s competitive edge in AI against China and other nations.
The project aims to create over 100,000 jobs in the U.S., with $100 billion already committed for immediate deployment.
Initial data centers are under construction in Texas, with interest from around 16 states to host additional centers.
