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Project Stargate: 10 Things to Know About AI Infrastructure Company Funded By SoftBank, OpenAI, Oracle and MGX

January 22, 2025 by Joe Panettieri

In a White House press conference hosted by President Donald Trump, three major technology companies vowed to invest $500 million in AI-centric data center infrastructure. The effort involves a newly formed company called The Stargate Project.

Although Trump and his tech executive guests did not mention sustainable IT services at the White House press conference, The Stargate Project is seeking partners that are experts in renewable energy and sustainability, according to an OpenAI form about the effort.

Here are 10 things to know about Project Stargate, the founders, the funding, the generative AI priorities, potential energy sources and more, according to The Stargate Project launch announcement and other sources.

Oracle-Chairman-CTO-Larry-Ellison
Oracle Chairman and CTO Larry Ellison

1. Who Attended the White House Press Conference?: President Trump, Oracle Chairman Larry Ellison, SoftBank CEO Masayoshi Son and OpenAI CEO Sam Altman attended the press conference on January 21, 2025.

2. What Are the Financial Details?: The Stargate Project is a new company that "intends to invest $500 billion over the next four years building new AI infrastructure for OpenAI in the United States."

3. When does the project begin?: The startup will begin deploying $100 billion immediately, though specific spending areas were not announced.

4. What companies are involved in The Stargate Project?: "The initial equity funders in Stargate are SoftBank, OpenAI, Oracle, and MGX. SoftBank and OpenAI are the lead partners for Stargate, with SoftBank having financial responsibility and OpenAI having operational responsibility. Masayoshi Son will be the chairman."

Masayoshi Son, CEO, SoftBank

5. Which technology companies are partnering on the project?: "Arm, Microsoft, NVIDIA, Oracle, and OpenAI are the key initial technology partners."

  • Note about Microsoft: Microsoft had been OpenAI's exclusive cloud data center partner. After the Stargate announcement, Microsoft clarified its OpenAI relationship here.
  • Note about AWS and Google: Amazon Web Services (AWS) and Google Cloud were not mentioned as an initial partners. Amazon and Google are both investors in Anthropic -- a major OpenAI rival.

6. Where will Project Stargate infrastructure deployments occur? "The buildout is currently underway, starting in Texas, and we are evaluating potential sites across the country for more campuses as we finalize definitive agreements."

7. What applications will Project Stargate support?: "All of us look forward to continuing to build and develop AI—and in particular AGI—for the benefit of all of humanity. We believe that this new step is critical on the path, and will enable creative people to figure out how to use AI to elevate humanity." During the press conference, Ellison mentioned medical research involving cancer vaccines that are customized to each person.

8. What type of energy will Project Stargate leverage?: During the press conference, on-site power production was mentioned. But the launch announcement did not mention if or how renewable energy (wind, solar, hydro, etc) would power the Stargate infrastructure. Moreover, the launch announcement did not mention if nuclear power and small modular reactors (SMRs) would power the infrastructure.

Note: Many pundits believe AI data centers will ultimately require nuclear power and SMRs, and Altman is an early stage investor in Exowatt, a renewable energy startup focused on AI data centers.

Sam Altman
Sam Altman, CEO, OpenAI

9. How can more partners participate in The Stargate Project?: The founders want to "connect with firms across the built data center infrastructure landscape, from power and land to construction to equipment, and everything in between."

10. What Additional Question Marks Remain?: Deeper details about the effort were scarce as of January 22, 2025. Among the items to note: Oracle's Website does not mention the effort. Meanwhile, OpenAI foe Elon Musk alleges that Softbank doesn't have the finances required for Stargate Project.

11. Bonus: What types of partners is Project Stargate seeking? A form from OpenAI seeks partners in these areas:

  • Land, power and data center realty firms
  • Data center providers and EPCs
  • Data center engineers (EoRs) and general contractors
  • Equipment suppliers for mechanical, electrical and connectivity
  • Data center operators
  • Renewable energy and sustainability firms
  • Community engagement organizations

Potential partners can apply to join the effort here.

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