OpenAI & SoftBank: $1 Billion Investment in SB Energy

OpenAI and SoftBank have announced plans to invest $1 billion in SB Energy to support the development of AI infrastructure. SB Energy is backed by SoftBank and Ares Management.

The partnership is part of the $500 billion Stargate commitment announced in January by OpenAI, SoftBank, and Oracle. Under the agreement, SB Energy will build and operate OpenAI's 1.2 gigawatt data center in Milam County, Texas.

Greg Brockman, chairman of OpenAI, stated that the collaboration combines SB Energy's strength in data center infrastructure with OpenAI's expertise in data center engineering.

SoftBank and OpenAI have become increasingly connected over the past year. OpenAI completed a $40 billion funding round led by SoftBank, while SoftBank sold its entire stake in Nvidia for $5.83 billion.

OpenAI has signed infrastructure deals worth over $1.4 trillion, and CEO Sam Altman stated that the company is on track to generate annual revenue of over $20 billion in 2025.

Source: OT