• Welcome to TechPowerUp Forums, Guest! Please check out our forum guidelines for info related to our community.

US Prepares for Stargate Project: 500 Billion Dollars of AI Infrastructure Buildout

AleksandarK

News Editor
Staff member
Joined
Aug 19, 2017
Messages
2,736 (1.01/day)
On Tuesday, the newly inaugurated United States president, Donald Trump, announced a massive AI infrastructure expansion in the US called Stargate Project. Stargate is an idea that brings private investments across the US land, with up to 500 billion US dollars committed to the project over the next four years. This is single-handedly one of the most significant infrastructure projects ever planned, and this time it is all about AI and data centers. The initial phase involves deploying 100 billion US Dollars immediately, while the remaining 400 billion will be deployed periodically over the next four years. OpenAI and SoftBank are leading this project, with Softbank's CEO Masayoshi Son being the project's chairman. Major equity partners include SoftBank, OpenAI, Oracle, and MGX. Major technology partners who will supply the know-how, planning, software, and hardware are Arm, Microsoft, NVIDIA, Oracle, and OpenAI.

Leading the entire operation will be up to OpenAI, who is gaining operational lead in the project, while Softbank oversees financial planning. Interestingly, the buildout has already begun. OpenAI is currently exploring a few sites in Abilene, Texas, which includes ten 500,000 sq. ft. data centers with 20 planned for the future. Interestingly, the infrastructure expansion will most likely be present in every US state that can provide ample land and power capacity. OpenAI is looking for partners to help with the massive data centers' power, land, and construction. The most significant impact of this project will be on the power grid, which will require additional buildout and implementation of small nuclear reactors running locally nearby to satisfy the power draw from hundreds of thousands and even millions of GPUs. OpenAI is praising NVIDIA for its almost decade-long partnership, meaning that most GPUs will likely be NVIDIA-sourced.




For AI, this means that the rapid acceleration of AI infrastructure availability will allow new technologies to be deployed broadly and the GPU capacity to expand to accommodate additional model training, inference, and, as of recently, scaling test-time computing. The current top-performing models from OpenAI, o1, and o3 use inference time scaling, where models spend a significant amount of time "reasoning"—creating a chain of thought before providing an answer, thus improving their intelligence for every situation. This is also called test-time scaling, which requires massive computational capacity, which the new Stargate Project plans to deliver.

View at TechPowerUp Main Site | Source
 
Joined
Jan 11, 2022
Messages
1,023 (0.92/day)
If it’s just private capital there isnt much I can say about it, I was expecting the ai bubble to pop this year though.

i do think it’s a giant waste of money and resources For a nation with an ancient crumbling infrastructure.
 
Joined
Sep 27, 2020
Messages
93 (0.06/day)
If it’s just private capital there isnt much I can say about it, I was expecting the ai bubble to pop this year though.

i do think it’s a giant waste of money and resources For a nation with an ancient crumbling infrastructure.
AI it's not a bubble. Maybe it's the perception that some people have about it and maybe it's a bubble for end users, but for big companies and corporations, AI it's a new industrial revolution.
 
Joined
Apr 5, 2016
Messages
226 (0.07/day)
Location
New Zealand
System Name Katzi
Processor Ryzen 7 5800X3D
Motherboard Asus Strix B550-A
Cooling Phanteks Glacier 360
Memory G.Skill Trident Z Neo F4-3600C16-16GTZNC (Dual Rank 32Gb)
Video Card(s) MSI Gaming X Trio RTX 3080
Storage Samsung SSD 980 1TB, 970 512GB Evo Plus, 1TB 870 QVO, 960 Pro
Display(s) LG 27GS75Q-B
Case NZXT H6 Black
Audio Device(s) Creative Soundblaster X3
Power Supply Corsair RMx850
Software System76 Pop!_OS, Windows 11 23H2
Disgusting...

Besmirching one of my all-time favourite Sci-fi IP's by association with this shit.
 
Joined
Jan 11, 2022
Messages
1,023 (0.92/day)
AI it's not a bubble. Maybe it's the perception that some people have about it and maybe it's a bubble for end users, but for big companies and corporations, AI it's a new industrial revolution.
The internet was a bubble at the beginning of the century, huge amounts of money were dumped in ventures that didnt have the means to make that money back in a reasonable time. It collapsed.

the exact same thing is true for ai, it will stay around and become an industry that is worth its capitalisation but that is still years away.
its far To expensive to run in its current form to be commercially viable and the QE stimmy money of the past decade and a half is gone to fuel the venture capital that’s being blown on it.

just Like real estate it needs to go pop.
 
Joined
May 11, 2018
Messages
1,320 (0.54/day)
The internet was a bubble at the beginning of the century, huge amounts of money were dumped in ventures that didnt have the means to make that money back in a reasonable time. It collapsed.

the exact same thing is true for ai, it will stay around and become an industry that is worth its capitalisation but that is still years away.
its far To expensive to run in its current form to be commercially viable and the QE stimmy money of the past decade and a half is gone to fuel the venture capital that’s being blown on it.

just Like real estate it needs to go pop.

But when the dot com bubble collapsed it lost so much money that it took literally decades for the investors to spend their money at that level.

Even if the AI bubble would suddenly collapse, I imagine it would take a long time for instance for Nvidia to start looking at gamers as a income possibility. I think they'd sooner try to make home cryptomining great again than that.
 
Joined
Jan 11, 2022
Messages
1,023 (0.92/day)
But when the dot com bubble collapsed it lost so much money that it took literally decades for the investors to spend their money at that level.

Even if the AI bubble would suddenly collapse, I imagine it would take a long time for instance for Nvidia to start looking at gamers as an income possibility. I think they'd sooner try to make home cryptomining great again than that.
bitcoin is now done on asics.
there is little money left on the table for nvidia mining wise after etherium moved to proof of stake and many coins followed.
 
Joined
May 11, 2018
Messages
1,320 (0.54/day)
bitcoin is now done on asics.
there is little money left on the table for nvidia mining wise after etherium moved to proof of stake and many coins followed.

Yes, right now it doesn't make any sense.

But that doesn't mean that in desperation, with the certain amount of backing of GPU mineable coin, sudden large investment from the unknown entities, sudden enthusiasm in the crypto circles (paid influencers suddenly talking just about that) it couldn't come back with etherium fork, or even some other new coin.

Wrap it somehow in "AI" buzzwords, market it as perfect for mining on AI acceleration hardware that would be lying around after AI collapse - in fact it could start even without AI collapse - just with a bit of downturn.
 
Joined
Jan 11, 2022
Messages
1,023 (0.92/day)
Yes, right now it doesn't make any sense.

But that doesn't mean that in desperation, with the certain amount of backing of GPU mineable coin, sudden large investment from the unknown entities, sudden enthusiasm in the crypto circles (paid influencers suddenly talking just about that) it couldn't come back with etherium fork, or even some other new coin.

Wrap it somehow in "AI" buzzwords, market it as perfect for mining on AI acceleration hardware that would be lying around after AI collapse - in fact it could start even without AI collapse - just with a bit of downturn.
So you can waste a lot of money in setting up a proof of work system or just put that money in proof of stake and start of with more of it....

When a bubble bursts it's companies like nvidia/supermicro that stop receiving the massive multi billion dollar orders and developers who see projects dry up.
Companies and universities won't be unplugging their servers and trying to get rid of them.
They will just use them and try to make the most of it and won't expand on them until they somehow manage to find a viable product and thats when things propperly take off
 
Joined
Feb 23, 2019
Messages
6,157 (2.85/day)
Location
Poland
Processor Ryzen 7 5800X3D
Motherboard Gigabyte X570 Aorus Elite
Cooling Thermalright Phantom Spirit 120 SE
Memory 2x16 GB Crucial Ballistix 3600 CL16 Rev E @ 3600 CL14
Video Card(s) RTX3080 Ti FE
Storage SX8200 Pro 1 TB, Plextor M6Pro 256 GB, WD Blue 2TB
Display(s) LG 34GN850P-B
Case SilverStone Primera PM01 RGB
Audio Device(s) SoundBlaster G6 | Fidelio X2 | Sennheiser 6XX
Power Supply SeaSonic Focus Plus Gold 750W
Mouse Endgame Gear XM1R
Keyboard Wooting Two HE
Joined
Jul 24, 2024
Messages
368 (2.01/day)
System Name AM4_TimeKiller
Processor AMD Ryzen 5 5600X @ all-core 4.7 GHz
Motherboard ASUS ROG Strix B550-E Gaming
Cooling Arctic Freezer II 420 rev.7 (push-pull)
Memory G.Skill TridentZ RGB, 2x16 GB DDR4, B-Die, 3800 MHz @ CL14-15-14-29-43 1T, 53.2 ns
Video Card(s) ASRock Radeon RX 7800 XT Phantom Gaming
Storage Samsung 990 PRO 1 TB, Kingston KC3000 1 TB, Kingston KC3000 2 TB
Case Corsair 7000D Airflow
Audio Device(s) Creative Sound Blaster X-Fi Titanium
Power Supply Seasonic Prime TX-850
Mouse Logitech wireless mouse
Keyboard Logitech wireless keyboard
Yes, this is what USA really needs, more dumb as f* chips that transform enormous energy into heat.
What a waste of money and resources. Trump, you now have Elon by your side, unfortunately for you he's sitting in your president chair.
Why not investing that money to space instead? That would be MUCH MORE BETTER investment than this "AI".

1737543210363.png
 
Joined
Apr 12, 2013
Messages
7,602 (1.77/day)
AI it's a new industrial revolution.
Sure, if you say so :rolleyes:

When a bubble bursts it's companies like nvidia/supermicro that stop receiving the massive multi billion dollar orders and developers who see projects dry up.
The problem over there is it will take a lot of churn/time for that to materialize. So, like crypto, we can debate this ad nauseam, but there's just way too much money invested in this Ponzi scheme for it to pop like tulip mania :shadedshu:
 
Joined
May 11, 2018
Messages
1,320 (0.54/day)
So, like crypto, we can debate this ad nauseam, but there's just way too much money invested in this Ponzi scheme for it to pop like tulip mania :shadedshu:

I don't understand this reasoning - I'd think the more money invested, the more pressure for technology to deliver revenue - revenue from the end user, not just more investor money because of the hype.

Dot com bubble collapsed at the height of investment, and at the rising revenue from customers - but the investors suddenly noticed they were overly optimistic and that it would take too long to return their investment and generate profit, so they pulled out, crashing the bubble.
 
Joined
Nov 15, 2024
Messages
88 (1.28/day)
I thought they were saying that the whole "reasoning" angle might develop more fruits as it can be applied more specifically. I'm not sure if that's what these people are pursuing, rather than their AGI dream?!

"When space agency officials discuss why people should care about human exploration, they often say it's for the benefit of humanity."
The gilded age indeed...
 
Joined
Mar 11, 2024
Messages
102 (0.32/day)
Holy cow. Stocks will go wild, things are moving, I'm excited for the future.

If it’s just private capital there isnt much I can say about it, I was expecting the ai bubble to pop this year though.

i do think it’s a giant waste of money and resources For a nation with an ancient crumbling infrastructure.
I feel like there is enough momentum for AI to develop into something everybody 'needs' in our daily lives. It's NOT going anywhere
 
Joined
Mar 7, 2007
Messages
1,429 (0.22/day)
Processor E5-1680 V2
Motherboard Rampage IV black
Video Card(s) Asrock 7900 xtx
Storage 500 gb sd
Software windows 10 64 bit
Benchmark Scores 29,433 3dmark06 score
Holy cow. Stocks will go wild, things are moving, I'm excited for the future.


I feel like there is enough momentum for AI to develop into something everybody 'needs' in our daily lives. It's NOT going anywhere
My instincts line up with this.
 
Joined
Sep 15, 2015
Messages
1,098 (0.32/day)
Location
Latvija
System Name Fujitsu Siemens, HP Workstation
Processor Athlon x2 5000+ 3.1GHz, i5 2400
Motherboard Asus
Memory 4GB Samsung
Video Card(s) rx 460 4gb
Storage 750 Evo 250 +2tb
Display(s) Asus 1680x1050 4K HDR
Audio Device(s) Pioneer
Power Supply 430W
Mouse Acme
Keyboard Trust
Joined
Jan 11, 2022
Messages
1,023 (0.92/day)
Holy cow. Stocks will go wild, things are moving, I'm excited for the future.


I feel like there is enough momentum for AI to develop into something everybody 'needs' in our daily lives. It's NOT going anywhere
The internet bubble burst, it’s still here.
just like there are still tulips in the Netherlands.

investments will just stall,
 
Joined
Mar 11, 2024
Messages
102 (0.32/day)
The internet bubble burst, it’s still here.
just like there are still tulips in the Netherlands.

investments will just stall,
Looking at graphs, it's obvious that investments are there to cash-on the growth of a new high demand field. The dot com bubble allowed to build the foundations of the internet as we know it today because of massive investments after that whatever has real value stays and mostly follows inflation. NVDA stock will fall hard for obvious reasons once they start losing their monopoly/competitiveness

What I'm saying is all speculative but this massive investment will shape the age of machine learning
 
Joined
Jan 11, 2022
Messages
1,023 (0.92/day)
Looking at graphs, it's obvious that investments are there to cash-on the growth of a new high demand field. The dot com bubble allowed to build the foundations of the internet as we know it today because of massive investments after that whatever has real value stays and mostly follows inflation. NVDA stock will fall hard for obvious reasons once they start losing their monopoly/competitiveness

What I'm saying is all speculative but this massive investment will shape the age of machine learning
It’s a nice chunk of change that’s being tossed at it, but in the scheme of things I think a multiple of that half a trillion has been dumped in ai already.
nvda being a nearly 4 trillion usd company…
 
Joined
Nov 13, 2021
Messages
236 (0.20/day)
If it’s just private capital there isnt much I can say about it, I was expecting the ai bubble to pop this year though.

i do think it’s a giant waste of money and resources For a nation with an ancient crumbling infrastructure.
we will try to fix it all at once...keeping l!b&r@l$ away from the money is a big part of making it all work

American military-industrial complex is dead, welcome your new AI-military-industrial complex...
good
 
Joined
Jan 2, 2019
Messages
166 (0.08/day)
Here is an example of how a Microsoft Copilot helped me ( I'm a C/C++ Software Engineer ).

- A small task appeared on my list, that is, as simple as possible Http Server in C
- I was asked to complete it as fast as possible
- I've responded that have No any experience with Http Servers but I would take a look at it right away
- In my Chromium browser a default Search Engine is Bing
- Here is simple log of what happened next:
...
<ScaLibBDP prompt> Simple Http Server in C.

Copilot generated codes for Http Server in C ( ~100 code lines / For Linux OS )

<ScaLibBDP> Compiled the code after solving some ptoblems with header files on Windows OS

<ScaLibBDP prompt> Does Not work on Windows. Error code 10093.

Copilot explained that the Error code 10093 is related to the Windows Sockets API (Winsock) and typically indicates that the application has not called WSAStartup or WSAStartup failed. This function initializes the use of the Winsock DLL by a process.

<ScaLibBDP prompt> Update the code of Http server to resolve error 10093 on Windows.

Copilot re-generated codes for Http Server in C ( ~100 code lines / For Windows OS )

Summary is as follows: I've spent about ten more minutes on finalizing the re-generated codes and a prototype is working now. In total, about 30 minutes...

Here is a screenshot:

SimpleHttpServer2.jpg


It really improves productivity especially when you have Zero knowledge of something but the Manual Work is Still Needed! Period.
 
Joined
Nov 22, 2023
Messages
311 (0.73/day)
Sounds like the tech companies scratched Trump's back by letting him announce/take credit for something they were already in the process of doing.

Now we wait for the quid pro quo...
 
Top