Microsoft, OpenAI Plan Data-Center Project Worth $100 Billion

Sat Mar 30 2024
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WASHINGTON: American multinational corporation and technology company, Microsoft and OpenAI are planning to setup a data-center project worth $100 billion.

The project will include an artificial intelligence-based supercomputer called “Stargate,”.

According to media reports the Microsoft would finance the project, which would be 100 times more than some of the biggest data centers.

The Microsoft senior officials are looking to launch Stargate by 2028. The planned U.S.-based supercomputer would be the biggest in a series of installations the companies are looking to develop over the next six years.

Altman and Microsoft employees have developed supercomputers in five stages, with Stargate as the fifth stage. Microsoft is current developing a smaller, fourth-phase supercomputer for OpenAI to be launched by 2026.

Microsoft and OpenAI are currently in the process of developing the third phase of the five-phase supercomputer.

“We are always planning for the next generation of infrastructure innovations needed to continue pushing the frontier of AI capability,” Frank Shaw, a Microsoft spokesperson, said in a statement.

The proposed measures could cost $115 billion, more than three times what Microsoft spent on capital expenditures for servers, buildings and other equipment, last year.

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