US President Donald Trump has announced the launch of Project Stargate, a massive initiative that aims to create a $500 billion artificial intelligence infrastructure in partnership with OpenAI, Oracle, Japanese investment firm SoftBank and others.
Trump said at a White House ceremony that the project is “the largest AI infrastructure project in history” and aims to maintain US leadership in the field.
The announcement was attended by prominent figures such as Masayoshi Son, Chairman of SoftBank, Sam Altman, CEO of OpenAI, and Larry Ellison, CEO of Oracle.
With the announcement of an initial $100 billion in funding, with promises to inject the rest of the amount over four years, Elon Musk, Trump’s top advisor and a rival to Sam Altman, CEO of OpenAI, raised doubts about the seriousness of the project, saying on his X account that the project “does not have the actual announced funding.”
“Stargate”
The word “Stargate”, which was given to the project, means “Stargate” in Arabic. It is basically a term associated with a famous science fiction series of the same name. The use of this name for a huge investment project in artificial intelligence infrastructure was not just a random choice, but rather a symbolic choice that carries deep connotations related to the promising technological progress of artificial intelligence technologies, and reflects the desire of the United States for ambition, expansion and global influence in this field.
The planning for the “Stargate” project dates back to the administration of former President Joe Biden, as the idea was first revealed in March of last year. OpenAI had previously stressed the need to accelerate the planning and construction process to meet the increasing demand for energy infrastructure as a result of the expansion of data centers and their excessive energy consumption.
The list of partners in the project includes other major companies such as Microsoft, Arm, and the Emirati technology investment company MGX, in addition to Nvidia and Arm.
Project Details
The project includes the construction of new data centers and power generation facilities in several locations within the United States, and work has already begun on the first center in Texas, according to what was announced by Oracle’s technical director Larry Ellison. The project is expected to provide about 100,000 jobs during the implementation period.
The initiative comes at a time when investments in artificial intelligence data centers are increasing, as global demand for these centers is expected to more than triple by 2030, but analysts have warned that energy, land and permitting issues may hinder the implementation of such projects.
In the same context, Sam Altman confirmed during the announcement of the project that “Stargate will be the most important project of this era.”
American AI ambitions
The United States leads the world in artificial intelligence investments, as major companies such as Microsoft and Amazon have announced huge investments in this field in recent months in addition to previous investments. The US administration seeks to facilitate procedures for investors and provide the necessary support for developing the infrastructure.
American companies own the main data centers needed to develop and operate artificial intelligence technologies, as well as the most advanced artificial intelligence models. In addition, American companies such as Nvidia, Intel and AMD, or companies from allied countries, such as Arm and TSMC, dominate the market for designing and manufacturing advanced chips for use in operating data centers and developing artificial intelligence systems. Through this project, the United States is trying to strengthen its superiority over its competitors, most notably China, which sees its possession of advanced artificial intelligence technologies as an existential threat to it, as well as Britain and European countries. In addition to pumping huge investments in artificial intelligence, the United States is also trying, on the other hand, to impose strict restrictions on the export of artificial intelligence chips to countries such as China, in addition to restricting their access to artificial intelligence systems developed by American companies.
Challenges and Criticisms
In addition to Musk’s skepticism about funding, other concerns have emerged about the impact of data centers on the U.S. energy supply, as well as questions about the role of multiple investors in U.S. AI projects.
Some experts fear that the Trump administration will rush into investing in AI without adequate oversight and accountability, concerns that have grown since Trump rescinded an earlier executive order issued by Biden in 2023 that aimed to set safety standards and monitor AI-generated content.
Still, proponents see the project as a reflection of the United States’ commitment to strengthening its global technological leadership, especially since AI investments could be a major driver of the future digital economy.