US president Donald Trump has announced Stargate, a $500 billion new artificial intelligence (AI) investment company led by tech firms SoftBank, OpenAI and Oracle.
The launch of Stargate comes as global superpowers race to take the lead in AI-based innovations.
In a joint statement, the tech companies say the Stargate Project intends to invest $500 billion over the next four years, building new AI infrastructure for OpenAI in the US.
“We will begin deploying $100 billion immediately. This infrastructure will secure American leadership in AI, create hundreds of thousands of American jobs, and generate massive economic benefit for the entire world. This project will not only support the re-industrialisation of the United States, but also provide a strategic capability to protect the national security of America and its allies,” they note.
SoftBank, OpenAI, Oracle and MGX are the initial equity funders in Stargate, while SoftBank and OpenAI are the lead partners, with SoftBank having financial responsibility and OpenAI having operational responsibility.
SoftBank CEO Masayoshi Son will be chairman of the new entity.
Arm, Microsoft, Nvidia, Oracle and OpenAI are the key initial technology partners. According to the firms, the buildout is under way, starting in Texas, and they are evaluating potential sites across the country for more campuses as they finalise definitive agreements.
They add that as part of Stargate, Oracle, Ndvia and OpenAI will closely collaborate to build and operate this computing system.
This move complements a collaboration between OpenAI and Nvidia going back to 2016, and a newer partnership between OpenAI and Oracle.
“This also builds on the existing OpenAI partnership with Microsoft. OpenAI will continue to increase its consumption of Azure, as OpenAI continues its work with Microsoft, with this additional compute to train leading models and deliver great products and services.
“All of us look forward to continuing to build and develop AI – and in particular AGI [artificial generative intelligence] – for the benefit of all of humanity. We believe this new step is critical on the path, and will enable creative people to figure out how to use AI to elevate humanity,” the companies note.
The announcement was made by Trump yesterday, saying Stargate is the largest AI infrastructure project by far in history.
“As you know, there is great competition for AI and they are coming in at the greatest level.”
Present during the announcement was SoftBank’s Son, OpenAI’s Sam Altman and Oracle’s Larry Ellison.
Commenting on the collaboration, Nigel Green, CEO of deVere Group, says Trump’s announcement of the AI investment venture − with industry leaders such as Son, Altman and Ellison at the helm − confirms two key truths: dismissing AI as yesterday’s story is a mistake, and every investor must ensure they have exposure to AI.
“Many analysts argue the AI rally is going to dampen this year, but this news reaffirms that we’re merely in a recalibration phase, not a revolution in market leadership,” says Green.
“AI is not a fleeting trend – it’s the foundation of the future. Investors who fail to recognise this, risk missing out on one of the most transformative opportunities of our time.”
He adds that although companies like Microsoft and Nvidia are not officially backing the initiative, they are expected to play significant roles in the broader ecosystem of AI-driven growth.
“Trump’s promise to fast-track these projects using emergency declarations and executive orders further highlights the urgency and scale of this economic shift.”
Green continues: “AI is not a speculative play; it’s a structural shift in how industries operate. From equities tied to leading AI companies to diversified technology funds, there are clear pathways for investors to capitalise on this revolution. Companies like Nvidia and Microsoft remain pivotal players, particularly as their contributions to AI ecosystems grow.”
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