Oracle to provide 4.5 gigawatts of computing power to OpenAI

OpenAI will receive 4.5 gigawatts of computing power from Oracle under a deal valued at $30 billion. To meet this demand, which is equivalent to a quarter of all current data center capacity in the US, Oracle will build several new data centers in the country.

According to Bloomberg , 1 GW is in line with the capacity of a nuclear reactor, so it is easy to understand the magnitude of this agreement. This project is part of the 'Stargate' initiative, in partnership with Softbank, and where up to 500 billion dollars of investment is expected in new data centers. So far, more than 50 billion dollars have been mobilized for this purpose.

Texas, Michigan, Wisconsin, Wyoming, New Mexico, Georgia, Ohio and Pennsylvania are on the list of locations to receive these new data centers where fundamental information for the operation of generative AI platforms will be processed.

With this announcement, Oracle shares rose more than 5% to an all-time high of $229.98.