Stargate LLC
Company type | Joint venture |
---|---|
Industry | Artificial intelligence |
Founded | January 21, 2025 |
Founders | |
Headquarters | United States |
Area served | Worldwide |
Key people | Masayoshi Son ( chairman) |
Total assets | US$100 billion (2025) |
Owners |
|
Stargate Project,
It is named after the 1994 film Stargate, in which the stargates were portals to other worlds.[6] Because of its large scale, the program has been compared to the Manhattan Project.[7][8][9][10]
History
The "Stargate" term dates back to 2024, when OpenAI and Microsoft started developing a $100 billion AI supercomputer.[12]
On January 21, 2025, President Donald Trump announced the venture at a White House press conference, accompanied by Sam Altman from OpenAI, Larry Ellison from Oracle and Masayoshi Son from SoftBank.[5]
Donald Trump called it "the largest AI infrastructure project in history", and he indicated that he would use emergency declarations to expedite the project's development, particularly regarding
Larry Ellison contended that Stargate could lead to the AI-facilitated production of mRNA vaccines against cancer, and that such vaccines could be designed "robotically", or by leveraging AI, "in about 48 hours".[14]
The venture launched with an initial investment of $100 billion, with plans to increase it to $500 billion by 2029.
Coinciding with the project announcement, Microsoft and OpenAI signed a new agreement that grants Microsoft a right of first refusal on future OpenAI cloud computing capacity, while allowing OpenAI to use other cloud providers if Microsoft declines.[22]
On April 1, 2025, Softbank announced that its first $10 billion funding was expected to be borrowed from Japanese bank Mizuho and other lenders.[20]
On April 17, 2025, the Financial Times reported that OpenAI and Oracle weighed a future investment in the United Kingdom as they explored overseas locations to build out AI infrastructure.[23]
On May 16, 2025, Nvidia, Cisco, and OpenAI announced plans to help build the "UAE Stargate" artificial intelligence data center in United Arab Emirates.[24] UAE Stargate is expected to open in 2026.
On May 22, 2025, JPMorgan Chase agreed to lend $2.3 billion to OpenAI and its partners for the Stargate data center projects in Abilene, Texas. The project is being developed by a joint venture involving Blue Owl Capital, Crusoe Energy Systems, and Primary Digital Infrastructure, and is leased to Oracle Corporation.[25]
Structure
The venture is currently building 10
On May 22, 2025 G42, OpenAI, Oracle, Nvidia, SoftBank Group and Cisco announced a partnership to build Stargate UAE, a data center in the United Arab Emirates.[29]
References
- ^ Zakrzewski, Cat; De Vynck, Gerrit; Arnsdorf, Isaac; O'Donovan, Caroline (January 24, 2025). "OpenAI and other tech titans worked on Stargate deal months before Trump won". The Washington Post. Archived from the original on February 15, 2025. Retrieved January 25, 2025.
- ^ "OpenAI, SoftBank, Oracle to invest $500 bln in AI, Trump says". Reuters. Retrieved January 22, 2025.
- ^ Wiggers, Kyle (January 23, 2025). "OpenAI and SoftBank are reportedly putting $19B each into Stargate". TechCrunch. Archived from the original on May 8, 2025. Retrieved May 8, 2025.
- ^ Jacobs, Jennifer (January 21, 2025). "Trump announces up to $500 billion in private sector AI infrastructure investment - CBS News". www.cbsnews.com. Retrieved January 21, 2025.
- ^ a b c Habeshian, Sareen (January 21, 2025). "Trump announces billions in private sector AI investment". Axios. Archived from the original on January 23, 2025. Retrieved January 21, 2025.
- ^ Hayden, Erik (January 22, 2025). "Project Stargate: Trump Plots With Larry Ellison, Sam Altman On $500B AI Initiative". The Hollywood Reporter. Archived from the original on January 23, 2025. Retrieved January 24, 2025.
- from the original on January 24, 2025. Retrieved January 26, 2025.
- ^ "Trump's $500B AI plan is 'slap' in the face for Europe". Politico. January 22, 2025. Archived from the original on January 25, 2025. Retrieved January 26, 2025.
- ^ Franzen, Carl (January 22, 2025). "OpenAI Stargate is a $500B bet: America's AI Manhattan Project or costly dead end?". VentureBeat. Archived from the original on January 26, 2025. Retrieved January 26, 2025.
- ^ "Trump tech agenda begins with $500B private AI plan and cuts to regulation". The Washington Post. January 21, 2025. Archived from the original on January 30, 2025. Retrieved January 26, 2025.
- ^ @WhiteHouse (January 21, 2025). "President Trump has unveiled a $500 BILLION American AI investment alongside tech leaders Larry Ellison, Masayoshi Son, and Sam Altman, set to create 100,000 American jobs almost immediately! America is leading the way into the future! 🇺🇸" (Tweet). Retrieved March 10, 2025 – via Twitter.
{{cite web}}
: CS1 maint: url-status (link) - ^ Inc.com. January 21, 2025. Archivedfrom the original on January 21, 2025. Retrieved January 21, 2025.
- ^ Gedeon, Joseph (January 21, 2025). "Trump unveils $500bn joint AI venture between OpenAI, Oracle, and SoftBank". The Guardian. Retrieved January 21, 2025.
- ^ Klee, Miles (January 24, 2025). "Anti-Vax Conspiracy Theorists Freak Out Over Trump's $500 Billion AI Plan". RollingStone. Archived from the original on January 24, 2025. Retrieved January 24, 2025.
- ^ Schleifer, Theodore; Kang, Cecilia (January 22, 2024). "Musk Casts Doubt on Trump's $100 Billion A.I. Announcement". New York Times. Archived from the original on January 22, 2025. Retrieved January 22, 2024.
- ^ Bloomberg Television (January 22, 2025). Arm CEO Says Trump AI Pact Has Widespread Support. Archived from the original on January 23, 2025. Retrieved January 23, 2025 – via YouTube.
- ^ Mascarenhas, Natasha; Efrati, Amir (January 23, 2025). "OpenAI, SoftBank Each Commit $19 Billion to Stargate Data Center Venture". The Information. Archived from the original on January 31, 2025. Retrieved January 25, 2025.
- ^ Chan, Edwin (January 23, 2025). "SoftBank, OpenAI Plan $19 Billion Each for Stargate, Information Reports". Bloomberg News. Archived from the original on February 4, 2025. Retrieved January 25, 2025.
- ^ Hammond, George; Kinder, Tabby; Murghia, Madhumita (January 23, 2025). "Stargate artificial intelligence project to exclusively serve OpenAI". Financial Times. Archived from the original on February 1, 2025. Retrieved January 25, 2025.
- ^ a b Narioka, Eliot Brown and Kosaku. "How Is SoftBank Funding Its Mega Investment in OpenAI? A Lot of Debt". WSJ. Retrieved April 3, 2025.
- ^ "Breakingviews - Stargate is test of SoftBank financial engineering". Reuters. Archived from the original on March 23, 2025. Retrieved April 3, 2025.
- ^ Robison, Kylie (January 21, 2025). "Microsoft is letting OpenAI get its own AI compute now". The Verge. Archived from the original on January 31, 2025. Retrieved January 25, 2025.
- ^ "OpenAI, SoftBank Weigh U.K. Investment for Stargate AI Venture, FT Says, Citing Sources". Morningstar, Inc. April 17, 2025. Retrieved April 17, 2025.
- ^ a b Partsinevelos, Kristina; CNBC; Eudaily, Chris; Cnbc • • (May 16, 2025). "Nvidia, Cisco and OpenAI are backing the UAE Stargate data center project". NBC Chicago. Archived from the original on May 17, 2025. Retrieved May 16, 2025.
- ^ "JP Morgan Lends $2.3B for Texas Data Center Project Leased to Oracle". Commercial Observer. January 22, 2025. Retrieved May 22, 2025.
- ^ Comment, Sebastian Moss (January 21, 2025). "OpenAI announces 'The Stargate Project': $500bn over four years on AI infrastructure". www.datacenterdynamics.com. Archived from the original on January 21, 2025. Retrieved January 21, 2025.
- ^ "SoftBank and OpenAI seize the moment with new Stargate AI initiative". euronews. February 3, 2025. Retrieved May 26, 2025.
- ^ Seitz, Patrick (January 22, 2025). "Nvidia Stock Rallies As Chipmaker Named To Stargate AI Venture". Investor's Business Daily. Archived from the original on January 22, 2025. Retrieved January 23, 2025.
- ^ "Global Tech Alliance Launches Stargate UAE". The Korea Herald. May 23, 2025.