Trump unveils US$500 billion AI infrastructure project

Donald Trump says that the investment in AI infrastructure is the largest in history. Photo: The White House

At a White House press conference the day after his inauguration, Trump said that the joint venture between OpenAI, US tech giant Oracle, Japan-based Softbank and Emirati tech investment vehicle MGX was “by far” the largest AI infrastructure project in history.

The three companies will create a new business, called Stargate, to grow AI infrastructure in the US through the construction of ten 500,000 square foot data centers, as well as the energy systems required to power them. It has been estimated that the project could create as many as 100,000 US jobs.

Trump told reporters that he was supporting the project because of the importance of keeping AI in the US.

“I’m going to help a lot through emergency declarations because we have an emergency,” Trump told the conference. He added that he would “make it possible for them to get that done very easily.”

In a statement OpenAI said that the partners would “begin deploying” US$100 billion immediately and intended to invest US$500 billion over the next four years.

“The buildout is currently underway, starting in Texas,” it added. “And we are evaluating potential sites across the country for more campuses as we finalise definitive agreements.”

The project has been linked with Cruesoe Energy’s 998,000 square foot data center which is currently being built at the Lancium Clean Campus in Abilene, Texas and which has been reportedly leased to Oracle.

Increased investment and demand for AI is one of the leading factors behind the requirement for more data centres.

McKinsey said in a report that was published last year that global demand for data centre capacity would more than triple by 2030, growing between 19% and 27% annually by 2030. Technology giants such as Amazon and Meta have recently announced a series of data centre investments.

Trump has already reversed an executive order passed by former President Joe Biden in 2023 that aimed to monitor and regulate AI risks.

The opportunities and the challenges of a data centre building boom The construction challenges of storing the world’s data