Particle.news

Download on the App Store

OpenAI Secures Over 5 GW in Data-Center Deals as Stargate Venture Falters

Persistent disagreements with SoftBank have narrowed the joint Stargate initiative to a single Ohio data center by year-end.

Image
An aerial view shows construction underway on a Project Stargate AI infrastructure site, a collaboration between three large tech companies – OpenAI, SoftBank, and Oracle - in Abilene, Texas, U.S., April 23, 2025. REUTERS/Daniel Cole/File Photo
Image
blank

Overview

  • Announced in January by President Trump alongside Sam Altman, Masayoshi Son and Larry Ellison, Stargate pledged $500 billion to build 10 GW of AI infrastructure and create more than 100,000 U.S. jobs
  • After six months with no major joint agreements, the venture has halted its initial $100 billion immediate deployment plan
  • Clashes over governance and site selection have stalled collective progress, prompting OpenAI to pursue independent infrastructure deals
  • OpenAI’s standalone agreements—a $30 billion-per-year cloud capacity contract with Oracle and a $4 billion partnership with CoreWeave—push its under-development capacity past 5 GW and support over two million AI processors
  • Both partners continue to affirm a shared 10 GW target despite Tesla CEO Elon Musk’s public doubts about the project’s financial backing