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OpenAI and SoftBank each invest $500 million in SB Energy to fuel Stargate data center expansion and clean energy infrastructure

OpenAI and SoftBank Group have each committed $500 million in investment to SB Energy, a renewable energy arm of the SoftBank Group, to support the expansion of data center and power infrastructure for the Stargate initiative. The announcement, made by SB Energy on Friday, marks a major step in building the energy backbone needed to power next-generation AI systems. Stargate, a large-scale project led by OpenAI in collaboration with SoftBank, aims to construct a network of advanced data centers equipped with massive computing capacity and sustainable energy sources. The initiative is designed to support the growing demands of AI training and deployment, particularly for large language models and other compute-intensive workloads. The $1 billion in joint investment will fund the development of new renewable energy facilities, including solar and wind power plants, as well as grid integration and energy storage solutions. These resources will directly supply clean electricity to the data centers being built as part of Stargate, aligning the project with environmental sustainability goals. This partnership underscores the increasing convergence of AI infrastructure and energy systems, as AI companies face mounting pressure to scale operations while reducing carbon footprints. By investing in renewable energy infrastructure, OpenAI and SoftBank are not only securing long-term power for their AI ambitions but also setting a precedent for how tech and energy sectors can collaborate at scale. SB Energy emphasized that the new facilities will be built across multiple regions, with a focus on areas offering reliable access to renewable resources and high-capacity power grids. The project is expected to create thousands of jobs and accelerate the deployment of clean energy infrastructure in key markets. The investment comes amid growing competition among tech giants to secure both computing power and sustainable energy. As AI models grow in size and complexity, the need for massive, efficient, and environmentally responsible data center operations has become a strategic priority. OpenAI’s collaboration with SoftBank positions Stargate as one of the most ambitious infrastructure projects in the AI space.

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