OpenAI, Oracle, and SoftBank Announce Major Expansion of Stargate AI Data Centers with Five New Sites Across the U.S.
Leading technology giants OpenAI, Oracle, and SoftBank have jointly unveiled plans to significantly expand their Stargate initiative by establishing five new AI-focused data center sites across the United States. The new facilities, slated to be located across Texas, New Mexico, Ohio, and an undisclosed Midwestern location, mark the latest phase in an ambitious $400 billion investment program to supercharge AI infrastructure over the next three years.
This expansion pushes Stargate’s total capacity to nearly seven gigawatts, positioning it as one of the largest AI data center projects to date. The scale underscores the surging demand across various industries for advanced AI computing power, a trend that has rapidly accelerated alongside advances in generative and large language model technologies.
During a recent interview reported by CNBC, one of Oracle’s new CEOs expressed confidence that the market remains sustainable, emphasizing broad-based demand across multiple sectors rather than concentration on isolated customers. This strategic expansion responds to the global competitive landscape, where public cloud providers and AI innovators race to secure infrastructure capable of supporting increasingly sophisticated models and applications.
Oracle’s stock experienced immediate positive impact following the announcement, reflecting investor enthusiasm about the growth potential tied to the burgeoning AI ecosystem. The joint Stargate project is an example of cross-industry collaboration aimed at strengthening the AI supply chain, data processing capacity, and energy infrastructure necessary to meet the enormous computational needs of next-generation AI.
SoftBank’s involvement highlights the project’s international ambition and commitment to combining capital and expertise to fuel innovation. As real-world AI applications continue to multiply, the increase in data center footprint will support services ranging from natural language processing to complex simulations.
Through its strategic placement of new sites, the Stargate consortium is expected to enhance regional digital ecosystems, create high-tech jobs, and foster closer ties between AI research facilities and industrial users. By investing in built-to-purpose data centers, the partnership reduces latency and energy inefficiencies associated with geographically dispersed computing resources.
This announcement comes amid a broader trend of massive infrastructure investments by technology companies seeking to secure computing capacity for AI workloads anticipated to grow exponentially. With an infusion of $400 billion over three years, the Stargate expansion is poised to play a critical role in shaping the next wave of AI innovation and adoption.
Overall, the OpenAI-Oracle-SoftBank collaboration represents a bold vision for the future of AI infrastructure development, navigating both technological and market challenges to meet the next-generation requirements of AI applications worldwide.