President Donald Trump announced a new initiative called Stargate, a joint venture between OpenAI, Oracle, and SoftBank. The project plans to invest up to $500 billion in artificial intelligence infrastructure. The project’s initial focus will be building data centers and securing electricity generation in Texas, and an anticipated $100 billion will be spent in the coming months.

Stargate’s development began under the Biden administration in 2024, but Trump’s push for rapid AI expansion has accelerated the project’s launch. According to the White House, this initiative will strengthen America’s position in the global AI race and bolster its technological capabilities.

Alongside Masayoshi Son of SoftBank, Sam Altman of OpenAI, and Larry Ellison of Oracle, Trump officially introduced the venture at the White House.

“It’s big money and high-quality people,” said Trump, calling the partnership “a resounding declaration of confidence in America’s potential” under his leadership.

Altman highlighted the project’s significance.

“This will be the most important project of this era,” Altman said.

Ellison pointed out that at least 10 data centers will be built, serving as critical infrastructure for applications like digital health records and customized vaccines. Son described the venture as the start of “a golden age,” echoing Trump’s vision of a new era for the U.S.

According to the White House, Stargate’s construction will begin in Texas, a state known for its resources and growing tech sector. Beyond OpenAI, other key participants include Microsoft, investor MGX, and chipmakers Arm and NVIDIA, reflecting the project’s broad industry backing.

In a controversial move, Trump recently overturned President Joe Biden’s 2023 executive order on AI safety standards and watermarking of AI-generated content. The administration argues that removing such regulations will eliminate bureaucratic delays and foster innovation.

However, some experts have expressed concerns about potential security and ethical risks that may arise from rapid AI development without safeguards. The White House insists that supporting the Stargate initiative is essential to keeping pace with global competitors like China.

OpenAI had previously pointed out that “planning and permitting for large-scale AI infrastructure can be lengthy and complex, particularly for energy infrastructure.” Trump’s team believes deregulation will expedite the process and provide a competitive advantage.

Trump’s announcement follows a separate $20 billion commitment from DAMAC Properties, aimed at building data centers to support AI-related operations. The administration expects that these investments will create jobs, spur technological innovation, and solidify the U.S. as a leader in AI.