OpenAI has partnered with Oracle for data center services in a deal valued at US$30 billion annually.

OpenAI CEO Sam Altman confirmed the agreement but did not disclose financial details.

The partnership is part of the Stargate project, a US$500 billion initiative involving OpenAI, Oracle, and SoftBank, to build large-scale data center infrastructure.

The deal includes 4.5 gigawatts of capacity, enough to power around four million homes.

The first facility, Stargate I, will be located in Abilene, Texas.

Oracle plans to spend US$25 billion this fiscal year on data center development, after spending US$21.2 billion last year.

Following the announcement, Oracle’s stock rose, boosting founder Larry Ellison to the second richest person in the world.

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