Oracle, OpenAI and SoftBank unveil $400 billion Stargate data center expansions

AI Infrastructure Expansion - Oracle, OpenAI, SoftBank are unveiling five more Stargate sites across Texas, New Mexico, Ohio, and an undisclosed location in the Midwest [1] - The initiative's revised spend is nearly 7 gigawatts and more than $400 billion investment over the next three years [2] - Total power demand from this and the Nvidia announcement reaches 17 gigawatts, representing an unprecedented infrastructure buildout in the US [9] Market Demand and Concerns - Oracle's CEO indicates broad-based demand across the industry, mitigating concerns about a market bubble due to committed demand [3] - OpenAI's CEO emphasizes that this scale of construction is necessary to keep up with AI's explosive growth, requiring significant infrastructure [4] - OpenAI anticipates needing much more compute to deliver on the horizon for AI [5] Powering AI Infrastructure - Nuclear power is being considered as a potential power source, with Sam Altman having supported a startup in this area [7] - Renewable energy and grid power in Texas may not be sufficient to meet the 7 gigawatts demand [8] Stock Market Reaction - Oracle's stock is expected to rise after hours following a 4% drop during the regular session [1] - Nvidia and Oracle both closed lower initially but are moving higher after hours, suggesting the deal is reigniting the AI trade [6]