OpenAI's Stargate Project: 16 States in the Running for Data Center Campuses

Cyrus ColeThursday, Feb 6, 2025 3:05 pm ET
4min read


OpenAI, the leading AI research organization, is considering 16 states for the construction of data center campuses as part of the Trump-backed Stargate project. This ambitious initiative aims to invest $500 billion over four years, with an initial $100 billion deployment, to build new AI infrastructure for OpenAI in the United States. The project seeks to secure American leadership in AI, create hundreds of thousands of American jobs, and generate massive economic benefits for the entire world.

The 16 states under consideration are Arizona, California, Florida, Louisiana, Maryland, Nevada, New York, Ohio, Oregon, Pennsylvania, Utah, Texas, Virginia, Washington, Wisconsin, and West Virginia. These states have indicated real interest in the project and offer attractive opportunities for investment, given their infrastructure, workforce, tax incentives, and geographical diversity.

Texas is already under consideration for the first data center campus, with construction underway in Abilene. This decision was likely influenced by the state's abundant power resources, business-friendly regulatory environment, and skilled workforce. Additionally, OpenAI is evaluating potential sites in Pennsylvania, Oregon, and Wisconsin, indicating a focus on geographical diversity.

The construction and operation of these data centers are expected to have a significant positive impact on the local economies and job markets in the chosen states. OpenAI has stated that the project will create "hundreds of thousands of American jobs," with the first data center in Abilene, Texas, expected to create around 57 jobs. These jobs will include construction and operational roles, supporting the re-industrialization of the United States.

However, the environmental impacts of these data centers are a concern. Large-scale data centers can consume vast amounts of energy and water, contributing to carbon emissions and water scarcity. To address these concerns, OpenAI could explore renewable energy sources, implement energy-efficient technologies, adopt water-saving cooling methods, and collaborate with industry partners to build more sustainable data centers.

In conclusion, OpenAI's Stargate project is a significant investment in the future of AI infrastructure in the United States. The selection of 16 states for data center campuses highlights the potential for widespread economic benefits and job creation. However, addressing the environmental impacts of these data centers will be crucial for the project's long-term success.