Microsoft and OpenAI Announce $100 Billion Data-Center Project
People involved in private conversations about the proposal said Microsoft would likely finance the project, which would be 100 times more expensive than some of the biggest current data centers.
Microsoft and OpenAI Announce $100 Billion Data-Center Project: Media reports on Friday said Microsoft and OpenAI are planning a $100 billion data center project that will include an AI supercomputer called “Stargate.”
Reuters didn’t hear back from the companies right away.
Microsoft and OpenAI Announce $100 Billion Data-Center Project
People involved in private conversations about the proposal said Microsoft would likely finance the project, which would be 100 times more expensive than some of the biggest current data centers.
Microsoft executives are looking to launch Stargate by 2028, the report says, with OpenAI’s next major AI upgrade coming early next year.
According to the report, the U.S. supercomputer would be the biggest in a series of installations over the next six years.
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OpenAI CEO Sam Altman and someone who viewed some of Microsoft’s initial cost estimates were credited with the $100 billion cost estimate in The Information.
Microsoft is working on a smaller, fourth-phase supercomputer for OpenAI that it aims to launch around 2026, according to Altman and Microsoft employees.
In the third phase of the five-phase plan, Microsoft and OpenAI are procuring the AI chips that they need for the next two phases, according to the report.
“We are always planning for the next generation of infrastructure innovations needed to continue pushing the frontier of AI capability,” Frank Shaw, a Microsoft spokesperson, said in a statement to the publication.
According to the report, the proposed efforts could cost over $115 billion, more than three times what Microsoft spent last year on servers, buildings, and equipment.
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