OpenAI and SoftBank Commit $1B to SB Energy to Expand AI Data Center Infrastructure

OpenAI and SoftBank have announced plans to invest $1 billion in SB Energy as part of a strategic partnership to accelerate OpenAI’s artificial intelligence infrastructure buildout. The investment forms part of the $500 billion Stargate commitment unveiled by OpenAI, SoftBank, and Oracle last January. Under the agreement, SB Energy will build and operate OpenAI’s 1.2 gigawatt data center site in Milam County, Texas, first announced in September.

SB Energy, backed by SoftBank and Ares Management, will also enter a non-exclusive preferred partnership with OpenAI and SoftBank to develop a new model for large-scale AI data center construction, combining OpenAI’s in-house data center design with SB Energy’s integrated energy and infrastructure expertise. The partnership deepens ties between Masayoshi Son’s SoftBank and OpenAI as the AI developer scales compute to meet rapidly growing demand.

James Dargan

James Dargan is a writer and researcher at The AI Insider. His focus is on the AI startup ecosystem and he writes articles on the space that have a tone accessible to the average reader.

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