On Tuesday, the newly inaugurated United States president, Donald Trump, announced a massive AI infrastructure expansion in the US called Stargate Project. Stargate is an idea that brings private investments across the US land, with up to 500 billion US dollars committed to the project over the next four years. This is single-handedly one of the most significant infrastructure projects ever planned, and this time it is all about AI and data centers. The initial phase involves deploying 100 billion US Dollars immediately, while the remaining 400 billion will be deployed periodically over the next four years. OpenAI and SoftBank are leading this project, with Softbank's CEO Masayoshi Son being the project's chairman. Major equity partners include SoftBank, OpenAI, Oracle, and MGX. Major technology partners who will supply the know-how, planning, software, and hardware are Arm, Microsoft, NVIDIA, Oracle, and OpenAI.
Leading the entire operation will be up to OpenAI, who is gaining operational lead in the project, while Softbank oversees financial planning. Interestingly, the buildout has already begun. OpenAI is currently exploring a few sites in Abilene, Texas, which includes ten 500,000 sq. ft. data centers with 20 planned for the future. Interestingly, the infrastructure expansion will most likely be present in every US state that can provide ample land and power capacity. OpenAI is looking for partners to help with the massive data centers' power, land, and construction. The most significant impact of this project will be on the power grid, which will require additional buildout and implementation of small nuclear reactors running locally nearby to satisfy the power draw from hundreds of thousands and even millions of GPUs. OpenAI is praising NVIDIA for its almost decade-long partnership, meaning that most GPUs will likely be NVIDIA-sourced.