President Trump on Tuesday announced a joint venture between OpenAI, SoftBank and Oracle to create at least $100 billion in computing infrastructure to power artificial intelligence.
The venture, called Stargate, adds to tech companies’ significant investments in U.S. data centers, huge buildings filled with servers providing computing power. Stargate could ultimately invest up to $500 billion over four years. The three companies plan to contribute funding to the company, which will be open to other investors and will start with 10 data centers already under construction in Texas.
The joint venture announcement was an early trophy for Mr. Trump, even though efforts to create the joint venture predated his inauguration on Monday. Mr. Trump has promised to accelerate production of American-made AI to rival China for global leadership in the technology, and on Monday he reversed an executive order from former President Joseph R. Biden Jr. that imposed restrictions safety and other standards. requirements for government use of AI
At a news conference Tuesday, Mr. Trump said he would remove barriers to allow more data centers to be created. He said he would make “emergency declarations” to allow Stargate to produce its own electricity, without providing details.
“This monumental undertaking is a resounding declaration of confidence in America’s potential,” Mr. Trump said from the Roosevelt Room of the White House.
“We’re going to make things as simple as possible,” he added.
OpenAI CEO Sam Altman; SoftBank chief Masayoshi Son; and Oracle founder Larry Ellison were at the White House announcement with Mr. Trump.
Mr. Trump separately responded to reporters’ questions about the potential sale of TikTok. On Monday, he signed a decree aimed at blocking the application of a law that forces a sale or bans the popular app in the United States on national security grounds.
When asked if he would be in favor of Elon Musk buys TikTok, Mr Trump said: ‘I would, yeah. » Then he turned to Mr. Ellison and said Oracle could also buy TikTok.
“I have the right to make a deal,” Mr. Trump added.
Technology executives have rushed to show their support for Mr. Trump in recent months in hopes of currying favor and protecting themselves from regulatory retaliation. They donated millions to his campaign and inauguration. Mr. Altman attended the inauguration, and the heads of Google, Apple and Meta took front seats in the Capitol rotunda.
Mr. Trump touted the promise of artificial intelligence for economic growth and named David Sacks, a venture capitalist, to the new position of AI adviser.
OpenAI has a long time worked on financing its ambitious goals to build data center campuses around the world. This month, the company laid out an economic roadmap for the new administration which centered on a large-scale plan for US data centers used to power AI tools like its ChatGPT.
For years, Microsoft, which is OpenAI’s largest investor, has provided the data center infrastructure needed for the startup to operate. But as ChatGPT’s maker struggled to get enough computing power from Microsoft, the two companies agreed that OpenAI could seek additional data centers built by Oracle.
(The New York Times continued OpenAI and its partner Microsoft allege copyright infringement over news content related to AI systems. Both companies have denied the lawsuit’s allegations).
Last year, Mr. Altman began meeting with investors in the United Arab Emirates, computer chip makers in Asia and officials in Washington, proposing that they join together to build new computer chip factories and production centers. data around the world.
After officials in Washington expressed concern that a U.S. company was trying to develop vital technology in the Middle East, OpenAI focused on building new data centers in the United States.