U.S. President Donald Trump unveiled a major joint venture between OpenAI, Oracle, and SoftBank to invest up to $500 billion in AI infrastructure development. The new entity, Stargate, will focus on building data centers and electricity generation critical for AI advancement, with an initial investment of $100 billion.
“This is a resounding declaration of confidence in America’s potential,” Trump said, highlighting the partnership as a cornerstone of his administration’s economic strategy. The announcement came during a White House event Tuesday featuring Masayoshi Son of SoftBank, Sam Altman of OpenAI, and Larry Ellison of Oracle, all of whom credited Trump with enabling the ambitious project.
Stargate has already begun construction on 10 data centers in Texas, with plans to expand significantly. Ellison noted that the infrastructure would support digital health records and potentially revolutionize disease treatment, including cancer, through advancements like customized vaccines.
SoftBank’s Son praised the partnership, calling it “the beginning of a golden age,” echoing Trump’s assertion that the U.S. is entering a transformative era under his leadership. Son has committed $100 billion to U.S. projects over the next four years, adding to prior investments that included a stake in WeWork.
Stargate’s origins trace back to the Biden administration when tech outlets reported initial planning as early as March 2024, with OpenAI advocating for streamlined permitting to expedite such projects. The push for data center development aligns with Blackstone’s 2024 forecast of $1 trillion in U.S. investments over five years.
Trump framed the Stargate project as a vital step in securing the U.S.’s global leadership in AI amid competition from China. Trump’s announcement follows his controversial repeal of Biden’s 2023 executive order establishing safety standards for AI.
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