OpenAI and xAI Unveil Ambitious AI Infrastructure Plans

Written By:
Pari Shukla

Reviewed By:
Jahnu Jagtap

Openai And Xai Unveil Ambitious Ai Infrastructure Plans

OpenAI has revealed big plans to grow its artificial intelligence (AI) technology by teaming up with Oracle to add 4.5 gigawatts (GW) of power for computers. This is part of its larger goal to have 10 GW of computing power across the U.S., improving their Stargate I site in Abilene, Texas.

The announcement boosts the company’s initial $500 billion commitment outlined at the White House in January. OpenAI’s CEO, Sam Altman, posted pictures of the Abilene location on X, calling it a “gigantic infrastructure project.” He also said they plan to have over 1 million GPUs working by the end of the year and jokingly dared his team to make it 100 times bigger. 

The deal with Oracle will bring the total power for Stargate to over 5 GW, enough to run more than 2 million AI chips, and Altman suggested they have even bigger plans ahead.

At the same time, Elon Musk shared a bold plan for his company xAI. On Tuesday, he posted on X that xAI wants to build 50 million units of AI computing power in five years, and these will use energy more efficiently.

A user named PeterTeslaPrice calculated that this would be 500 times stronger than the world’s best AI computer from last year. xAI’s new Colossus 2 supercomputer will use 550,000 GB200 chips, about the same as 5.5 million H100s. Musk hopes to make it nearly 10 times bigger.

On another note, the $500 billion Stargate AI project, started earlier this year by President Trump, is facing problems. This project, supported by OpenAI, SoftBank, and Oracle, plans to build AI data centers and create over 100,000 jobs. But a recent report says there are big delays and disagreements between SoftBank and OpenAI, making it hard to move forward. 

Also Read: SoftBank-OpenAI’s $500B AI Dream Hits Early Roadblocks


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Parmeshwari Shukla is a Content Writer with over 3 years of experience in digital media, including 1 year in crypto news and journalism. She holds a Master’s degree in Mass Communication and a certification in Sports Journalism, bringing versatility and a strong editorial sense to her work.
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Jahnu Jagtap is a Research Analyst with over 5 years of experience in crypto, finance, fintech, blockchain, Web3, and AI. He holds a BSc in Mathematics and is certified in Blockchain and Its Applications (SWAYAM MHRD), Cryptocurrency (Upskillist), and NISM Certifications. Jahnu specializes in technical, on-chain, and fundamental analysis, while also closely tracking global macro trends, regulations, lawsuits, and U.S. equities. With a strong analytical background and editorial insight, he drives content that delivers clarity and depth in the fast-evolving world of digital finance.