OpenAI Expands Stargate Initiative with Oracle for Massive US Data Center Power

Jul 3, 2025
OpenAI has agreed to rent 4.5 gigawatts of data center power from Oracle as part of its Stargate initiative, marking a significant expansion in their collaboration.

OpenAI has agreed to rent a substantial amount of computing power from Oracle Corporation as part of its Stargate initiative. This agreement involves approximately 4.5 gigawatts of data center power in the US, a capacity that could power millions of American homes, .

The Stargate project, initially announced in January, involves Oracle developing multiple data centers across the US to meet OpenAI's growing demand for computing power. Sites in states such as Texas, Michigan, Wisconsin, and Wyoming are under consideration, with the existing Abilene, Texas, site expected to expand from 1.2 gigawatts to about 2 gigawatts.

This expansion is part of a larger $30 billion-a-year cloud deal between OpenAI and Oracle, which is considered one of the world's largest cloud agreements. The collaboration underscores Oracle's growing presence in the cloud infrastructure market, particularly in supporting AI workloads.

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