Microsoft and OpenAI Team Up for $100 Billion Data Center
The cornerstone of this project is an artificial intelligence supercomputer dubbed "Stargate," slated for a 2028 launch.
Tech giants Microsoft and OpenAI are pooling resources for a data center project earmarked for $100 billion investments, according to a report by The Information.[1]
The cornerstone of this project is an artificial intelligence supercomputer dubbed "Stargate," slated for a 2028 launch.
Sources familiar with the discussions revealed that the proposed supercomputer, to be situated in the US, marks the first in a series planned over the next six years.
Microsoft is already engaged in crafting a smaller, fourth-phase supercomputer slated for 2026.
A significant chunk of the budget is allocated to acquiring specialized AI chips, crucial for powering these high-performance computing systems. The cost of these chips, such as Nvidia's "Blackwell" B200, can soar to tens of thousands of dollars each.
In March, Microsoft named Mustafa Suleyman, co-founder of DeepMind, as the head of its fresh AI department.
This is the first time at the digital giant that a designated head is in charge of this crucial department. Suleyman leaves rival Inflection AI, where he held a leadership position, to join Microsoft.