OpenAI is transforming U.S. compute infrastructure with its collaboration with Oracle (NYSE: ORCL) on the Stargate project, which aims to develop 4.5 gigawatts of AI-focused data centers in states like Texas, Michigan, Wisconsin, and Wyoming. This follows OpenAI’s ongoing expansion in Abilene, Texas, where parts of the site utilize Nvidia’s (NASDAQ: NVDA) GB200 chips. Together, these initiatives are projected to elevate OpenAI’s total compute capacity beyond 5 gigawatts, employing over 2 million chips. The rapid scaling is fueled by early successes in Abilene, though financing delays related to the global economy mean SoftBank won’t be funding this phase. Oracle, having provided hardware since last month, plays a key operational role. For investors, this shift positions Oracle as a pivotal infrastructure provider in the booming AI sector, with potential to create over 100,000 U.S. jobs tied to the new capacity rollout. This article was initially featured on GuruFocus.
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