Microsoft and OpenAI are teaming up for a massive project, aiming to build a groundbreaking data center called "Stargate" at an estimated cost of $100 billion. This AI supercomputer is slated to debut in 2028, as per a report by The Information.

Responding to requests from Reuters, OpenAI has yet to comment on the matter.

The surge in demand for advanced AI capabilities has fueled the need for specialized data centers. These centers, equipped with generative AI technology, are becoming essential for handling complex tasks surpassing the capabilities of traditional data centers.

According to insiders familiar with private discussions, Microsoft is likely to foot the bill for this ambitious venture. The proposed investment dwarfs the costs associated with even the largest existing data centers by a factor of 100, The Information reveals.

The envisioned supercomputer, set to be based in the United States, represents the first in a series of similar projects planned by the two companies over the next six years.

While the price tag of $100 billion is speculative, it comes from sources close to the project who have discussed it with Altman and have seen Microsoft's initial cost assessments, as per The Information. However, these sources remain unnamed.

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