Oracle is investing a fortune in Nvidia chips!
Oracle is purchasing Nvidia’s highest-performance AI chips for a massive data center to be built in Texas, USA. This data center will also be the home base of the global Stargate project.
Oracle invests $40 billion in Nvidia chips
The new facility in Texas is planned to consist of eight separate buildings on an area of 875 acres. The data center will consume 1.2 gigawatts of energy when it reaches full capacity. The hardware side will include approximately 400,000 Nvidia GB200 Superchips.
Once completed, the facility will be leased to OpenAI for 15 years; it will then provide the basic infrastructure for training and deploying models. OpenAI is expected to significantly reduce its dependence on Microsoft thanks to this center.
In addition to Oracle’s large-scale investment, the financing of the Stargate project is also being carried out internationally. Crusoe Energy Systems and Blue Owl Capital provided a total of $15 billion in debt and equity investments in the project. JPMorgan offered a $9.6 billion credit package.
Stargate is not limited to Texas. The project is also planned to establish similar AI campuses in Europe and Asia. The first major international expansion will take place in the United Arab Emirates.
The AI campus, which will be built in Abu Dhabi in partnership with G42, is designed to consume four times the energy of the facility in Texas. The center, which will consume 5 gigawatts of energy in total, is aimed to contain exactly two million Nvidia superchips.
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