Washington (TDI): US President Donald Trump on Tuesday unveiled a private sector investment of up to $500 billion to boost artificial intelligence (AI) infrastructure, aiming to surpass global competitors in this critical technological domain.
Trump announced that OpenAI, the creator of ChatGPT, along with SoftBank and Oracle, are launching a joint venture named Stargate, which is set to construct data centres and generate more than 100,000 jobs within the US.
The firms, supported by other investors, have committed $100 billion for immediate use, with the remaining funding to be allocated over the upcoming 4 years.
The announcement was made at the White House with OpenAI CEO Sam Altman, SoftBank CEO Masayoshi Son, and Oracle Chairman Larry Ellison in attendance.
Ellison revealed that the establishment of the first data centres, each spanning 500,000 square feet, is already underway in Texas, with a total of twenty planned.
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These centres are likely to facilitate AI advancements, such as analysing electronic health records to assist medical practitioners.
Executives Credit Trump for Initiative
The executives credited President Trump for the initiative.
Son said they would not have pursued the venture had Trump not been in office, while Altman underlined Trump’s role in enabling the development of artificial general intelligence, a more advanced form of AI.
The announcement comes on Trump’s second day in office, following his repeal of an executive order from ex-President Joe Biden aimed at mitigating AI-related risks to consumers, workers, and national security.
AI technology demands immense computational power, requiring specialised data centres to link thousands of chips in clusters.
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Trump said that these facilities would be backed by streamlined access to electricity, including on-site generation if needed.
However, the increasing energy demands of AI data centres, coupled with the electrification of buildings and transport, place considerable pressure on the US power grid.
The North American Electric Reliability Corporation has warned that about half the country faces potential power shortages in the next decade.
