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OpenAI Builds Massive AI Data Center in Texas

Linda Torries – Tech Writer & Digital Trends Analyst by Linda Torries – Tech Writer & Digital Trends Analyst
July 23, 2025
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Introduction to Stargate

Stargate is a massive project announced by OpenAI in January, with an ambitious funding promise of $500 billion. Despite initial skepticism from critics, the project is moving forward with significant partnerships and investments.

Early Skepticism

When OpenAI announced Stargate, critics questioned whether the company could deliver on its funding promise. Elon Musk, a frequent critic of OpenAI’s CEO, wrote on X that "They don’t actually have the money," claiming that SoftBank had well under $10 billion secured. Tech writer Ed Zitron also raised concerns about OpenAI’s financial position, noting the company’s $5 billion in losses in 2024.

Progress and Partnerships

Six months later, OpenAI’s Abilene data center has moved from construction to partial operation. Oracle began delivering Nvidia GB200 racks to the facility last month, and OpenAI reports it has started running early training and inference workloads to support what it calls "next-generation frontier research." The Stargate concept dates back to March 2024, when Microsoft and OpenAI jointly planned a $100 billion supercomputer as part of a five-phase plan. Over time, the plan evolved into its current form as a partnership with Oracle, SoftBank, and CoreWeave.

The Future of Stargate

According to OpenAI, "Stargate is an ambitious undertaking designed to meet the historic opportunity in front of us." The company believes that the project will drive innovation, economic growth, and national competitiveness. With strong support from partners, governments, and investors worldwide, including leadership from the White House, Stargate is becoming a reality.

Conclusion

Despite initial skepticism, Stargate is moving forward with significant investments and partnerships. The project has the potential to drive innovation and economic growth, and its progress is being closely watched by the tech industry. As Stargate continues to evolve, it will be interesting to see how it impacts the future of AI and technology.

FAQs

  • What is Stargate?
    Stargate is a massive project announced by OpenAI, with an ambitious funding promise of $500 billion.
  • Who are the partners involved in Stargate?
    The partners involved in Stargate include Oracle, SoftBank, and CoreWeave.
  • What is the purpose of Stargate?
    According to OpenAI, Stargate is designed to meet the historic opportunity in front of us and drive innovation, economic growth, and national competitiveness.
  • How much funding has OpenAI secured for Stargate?
    OpenAI has secured $19 billion in funding for Stargate, with a total funding promise of $500 billion.
  • What is the current status of the Stargate project?
    The Stargate project is currently in partial operation, with OpenAI’s Abilene data center running early training and inference workloads.
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Linda Torries – Tech Writer & Digital Trends Analyst

Linda Torries – Tech Writer & Digital Trends Analyst

Linda Torries is a skilled technology writer with a passion for exploring the latest innovations in the digital world. With years of experience in tech journalism, she has written insightful articles on topics such as artificial intelligence, cybersecurity, software development, and consumer electronics. Her writing style is clear, engaging, and informative, making complex tech concepts accessible to a wide audience. Linda stays ahead of industry trends, providing readers with up-to-date analysis and expert opinions on emerging technologies. When she's not writing, she enjoys testing new gadgets, reviewing apps, and sharing practical tech tips to help users navigate the fast-paced digital landscape.

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