President Donald Trump announces ‘Project Stargate’, $500 billion AI investment, with OpenAI’s Sam Altman, Oracle’s Larry Ellison, and SoftBank’s Masayoshi Son at The White House

President Donald Trump on Tuesday unveiled a groundbreaking joint venture, Stargate, which aims to invest up to $500 billion in infrastructure to support artificial intelligence. This partnership, formed by OpenAI, Oracle, and SoftBank, will focus on building advanced data centers and the energy resources required for the rapid expansion of AI technology.

According to the White House, Stargate’s operations will begin in Texas with an initial investment of $100 billion, potentially growing fivefold. “It’s big money and high-quality people,” Trump said, calling it “a resounding declaration of confidence in America’s potential” under his leadership.

Joining Trump at the White House were Masayoshi Son of SoftBank, Sam Altman of OpenAI, and Larry Ellison of Oracle. The three leaders credited Trump with facilitating the project, although construction began in 2024 during the previous administration.

“This is the most important project of our era,” said OpenAI CEO Altman. Ellison highlighted that 10 data centers are already under construction and suggested the project could revolutionize healthcare by enabling the development of personalized treatments, including customized vaccines.

SoftBank’s Masayoshi Son described the initiative as the beginning of a “golden age,” echoing Trump’s vision of a prosperous America. Son committed $100 billion to U.S. investments over the next four years, building on prior pledges that included investments during Trump’s first term.

While Trump positioned the Stargate venture as a sign of economic revitalization under his administration, experts noted that the push for AI infrastructure was already underway. Reports from 2024, including one from The Information, detailed the Biden administration’s role in planning such initiatives. OpenAI, which previously relied on Microsoft’s data centers, signaled a need for its own infrastructure in a letter to the Commerce Department last fall.

Other partners in the project include Microsoft, Arm, NVIDIA, and investor MGX, according to separate statements from Oracle and OpenAI. Financial firm Blackstone has projected a $1 trillion investment in U.S. data centers over five years, with another $1 trillion allocated internationally—underscoring the scale of this sector’s growth.

The U.S. faces global competition, particularly from China, in advancing AI technologies. To meet these demands, the White House is prioritizing energy generation to support AI development. However, regulatory uncertainties linger. On Monday, Trump reversed a 2023 executive order from the Biden administration that sought to establish AI safety standards and watermarking for AI-generated content.

CBS News first reported the upcoming announcement of the AI investment initiative. Meanwhile, Elon Musk, a Trump ally and former OpenAI investor, has launched his own AI venture, xAI, and recently assumed leadership of Trump’s newly created “Department of Government Efficiency,” which aims to reduce federal spending.

In January, Trump also announced a $20 billion investment from DAMAC Properties to develop AI-related data centers in the United Arab Emirates.