Donald Trump last night unveiled a US$500 billion plan for a US AI Infrastructure network to be called Stargate, sending shares in tech companies soaring.
A joint venture with companies such as OpenAI, Oracle and Japanese investment firm Softbank, initial funding for the Texas-based project will be US$100 billion with the President claiming it will create 100,000 jobs
“This is money that would normally have gone to China,” Trump said.
"We will invest $500 billion, at least, in AI infrastructure in the United States.
“These world-leading technology giants are announcing Stargate, so put that name down in your books, because I think you’re going to be hearing a lot about it.”
Softbank had already pledged US$100 billion for US AI investment, but chief executive Masayoshi Son said Trump has asked him to increase this US$200 billion.
OpenAI founder Sam Altman, meanwhile, said he was thrilled to be undertaking the project in the US, adding “It is the most important project of this era.”
Altman said the project had been in the planning stage for a year and was the culmination of many conversations.
Oracle’s Larry Ellison said Stargate would involve the construction of AI infrastructure such as data centres across the US, with the first already underway in Texas.
Other tech companies involved include Microsoft, Arm and NVIDIA.
Shares in Oracle jumped by 9% in pre-market trading adding to a 7% jump in regular dealing, while Nvidia was up 2% and Microsoft 1.7% pre-market.