Oracle has reportedly purchased about 400,000 Nvidia GB200 AI chips, worth about $40 billion, for deployment in Abilene, Texas. According to the Financial Times, this site will be the first to host the U.S. Stargate project —a $500 billion investment in AI infrastructure by OpenAI, Oracle, SoftBank, and Abu Dhabi sovereign wealth fund MGX that President Trump announced earlier this year.
Upon completion, the site is estimated to deliver up to 1.2 gigawatts of computing power, making it one of the most powerful data centers in the world and competing against Elon Musk’s Colossus in Memphis, Tennessee.
The project’s ownership is a bit complicated, though. The Abilene site is owned by Cruso, an AI infrastructure company, and Blue Owl Capital, a U.S. investment firm. Both have poured over $15 billion into the site through debt and equity financing.
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The AI data center campus is approximately 875 acres and will have eight buildings. Construction began in June last year. Oracle will lease the Abilene site for 15 years, where it will deploy these AI chips. It will then lease this massive computing power to OpenAI, allowing it to use the AI chips to train its next-generation AI LLMs.