Oracle Invests $40 Billion in Nvidia Chips for OpenAI Data Center
Oracle Corporation is planning a massive purchase of approximately $40 billion worth of chips from Nvidia, which will be used to build a new data center for OpenAI as part of the U.S. Stargate project. This investment represents one of the largest single purchases of specialized artificial intelligence hardware in history.
Where and When?
The new data center will be built in Abilene, Texas, as part of the ambitious Stargate project, which aims to build a network of massive data centers focused on advanced AI applications across the United States. Oracle plans to purchase approximately 400,000 of Nvidia's latest high-performance GB200 "superchips," which will form the backbone of this infrastructure. The facility will be leased to OpenAI under a 15-year agreement, significantly expanding its computing capacity while reducing its dependence on Microsoft's cloud infrastructure. The data center is expected to be fully operational by mid-2026 and will become one of the largest data centers in the world, with a planned capacity of 1.2 gigawatts.
The Stargate project involves collaboration among several key technology partners, including Oracle, Arm, Microsoft, Nvidia, and OpenAI, with substantial financial commitments already secured for its expansion.
