OpenAI is teaming up with Oracle to significantly increase its AI computing capabilities with an additional 4.5 gigawatts (GW) of power.
The agreement, revealed on July 22nd, will expand the existing Stargate I facility located in Abilene, Texas. Earlier this year, in January, OpenAI announced intentions to deploy 10 GW of AI infrastructure across the United States, a goal this new development helps to accelerate.
OpenAI’s chief executive officer, Sam Altman, announced the development on X, referring to it as a “massive infrastructure project.” He also indicated that the expectation is to have over a million GPUs operational by the close of 2025.
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With this new arrangement in place, the Stargate project’s total planned capacity now surpasses 5 GW. This level of power has the capacity to support over two million AI processors.
Altman also indicated that OpenAI intends to increase its original half-a-trillion-dollar investment in Stargate.
Following the OpenAI announcement, Elon Musk disclosed that xAI aims to reach a computing capacity equivalent to 50 million H100 AI chips within the next five years. According to information from another X user, this would represent 500 times more computing power than the most powerful AI supercomputer from last year.
xAI’s forthcoming Colossus 2 system is anticipated to operate using 550,000 GB200 chips, which collectively provide performance equivalent to about 5.5 million H100s.
Additionally, xAI recently entered into a $200 million agreement with the United States Department of Defense. To find out what the agreement covers, read the complete article.
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