Trump Unveils $500 Billion 'Stargate' Venture to Strengthen AI Infrastructure

Trump Unveils $500 Billion ‘Stargate’ Venture to Strengthen AI Infrastructure

United States President Donald Trump has announced the formation of a 500 billion partnership with Texas-based tech company Oracle as well as Japanese firm SoftBank and ChatGPT’s creator OpenAI to develop AI infrastructure.

Trump announced the news at the White House event on Tuesday where he was joined by Softbank CEO Masayoshi Son, OpenAI CEO Sam Altman, and Oracle Chief Technology Officer Larry Ellison.

Trump declared that the project was the biggest AI infrastructure project in the history of AI “by far” and represented “a resounding declaration of confidence in America’s potential” under the new administration.

“It’s happening within the United States of America. There’s an enormous amount of competition in AI and other technologies, and they’re getting to the top quality,” Trump said.

The shares of Japan-based Softbank Group soared more than 8 percent Wednesday following the announcement.

The known as Stargate project will see three companies at first invest $100bn in the first year, and increase it to $500bn over the next four years.

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The funds is expected to create “colossal data centres” and other infrastructure to aid in the development of AI which will help ensure the long-term viability of AI, Trump said.

“What we want to do is keep it in this country,” Trump stated. “China is a competitor and others are competitors and we want it to be in this country.”

This project is helmed by Softbank and Open AI, according to an announcement from OpenAI. Softbank’s Son will be chairman.

Trump’s announcement came just a day after he had revoked an executive order issued by ex- US Vice President Joe Biden that established safety guidelines for AI development.

The regulations would have made it mandatory for companies to share their findings from testing for safety with US government, as well as other rules.

In the wake of Trump’s executive orders, Stargate and other US-based AI projects are no longer subject to national guidelines for development however, states can apply limitations.

In a short speech the previous Tuesday Son declared that Stargate will be”the “beginning of our golden age”.

Stargate will be bringing some of the most prestigious tech companies in America to the fold, as per Open AI.

SoftBank, OpenAI, Oracle and MGX will act as equity funders. Arm, Microsoft, NVIDIA, Oracle and OpenAI are the “key initial technology partners” according to the company’s an announcement on X.

“The build out is currently underway, starting in Texas, and we are evaluating potential sites across the country for more campuses as we finalise definitive agreements,” Open AI said, promising that Stargate will “not only support the re-industrialisation of the United States but also provide a strategic capability to protect the national security of America and its allies”.

Source: Al Jazeera