In a significant strategic move, SoftBank Group and OpenAI are collaborating with a joint investment totaling $1 billion to enhance AI data center capabilities in the U.S. This effort takes shape through SB Energy, a subsidiary of SoftBank, which will lead the development of new data center campuses as part of the Stargate project. Both companies will contribute $500 million each toward this initiative aimed at expanding AI infrastructure.
SB Energy is a California-based platform that focuses on clean energy and digital infrastructure development. It has taken on the responsibility of constructing and operating a 1.2-gigawatt data center facility located in Milam County, commissioned by OpenAI. Moreover, several multi-gigawatt data center campuses are currently underway, with the first batch of facilities slated to commence operations in 2026.
Rich Hossfeld, co-CEO of SB Energy, highlighted the importance of this partnership in accelerating the delivery of advanced AI data center campuses. He emphasized that the collaborative effort aims to establish the energy infrastructure necessary to support the scale required by the Stargate project. According to Hossfeld, this work will be vital to securing America’s position in the development and deployment of advanced artificial intelligence technologies.
This investment relationship builds on SoftBank Group’s prior substantial stake in OpenAI. Last December, SoftBank finalized a $40 billion commitment to OpenAI, signaling a high level of confidence in the company's AI prospects. To finance this commitment, SoftBank previously divested $5.8 billion worth of shares in NVIDIA Corp., a major player in AI hardware.
The focus on clean energy and digital infrastructure reflects broader industry trends addressing the high energy demands of AI technologies. As artificial intelligence applications grow, the need for dedicated data centers capable of supporting vast computational workloads is becoming critical. The collaboration between SoftBank and OpenAI via SB Energy directly responds to this evolving market landscape.
While specific details about the project timeline and operational rollout remain focused on the initial phase expected in 2026, the long-term plans indicate a commitment to multi-gigawatt-scale facilities. These data centers will not only serve computational needs but will also prioritize sustainable energy sourcing, aligning infrastructure development with environmental considerations.
This development occurs amidst a larger context of SoftBank's strategic positioning within the AI landscape. Their $40 billion investment in OpenAI underscores a deep engagement in AI sector growth and innovation, coupling financial commitment with infrastructure investment through SB Energy.
The use of AI tools contributed partially to the content production for this report, with final editing and verification carried out by professional editors to ensure accuracy and clarity.