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OpenAI Reported to Unveil New Data Center in UAE, Part of Stargate Expansion

It isn't clear how much capacity OpenAI is planning for the new data center, and the project is largely dependent on whether OpenAI can secure enough advanced Nvidia AI chip imports for developing and training AI models.

TMTPOST -- OpenAI may announce it will build a new data center in United Arab Emirates (UAE) during U.S. President Donald Trump’s visit this week.

Credit:Embassy of the UAE Washington, DC

Credit:Embassy of the UAE Washington, DC

OpenAI could announce a deal about the new data center as part of its Stargate data center effort with Softbank as early as this week, The Information on Tuesday quoted a person with knowledge of the talks. It’s unclear if OpenAI would use the data center capacity for its own artificial intelligence (AI) work and the deal is still finalizing the details, according to the report.

A Bloomberg report echoed the same day OpenAI is weighing a UAE data center deal as Trump is set to visit the Gulf nation on Thursday. It is reported that it isn’t clear how much capacity OpenAI is planning for the new data center, and the project is largely dependent on whether OpenAI can secure enough advanced AI chip imports from Nvidia Corporation for developing and training AI models.

A separate Bloomberg report said the Trump administration is considering a deal that would allow the United Arab Emirates (UAE) to import more than 1 million advanced Nvidia chips. One of the fifth chip imports would be deployed for the Abu Dhabi AI firm G42, while the rest would go to U.S. companies building data centers in the nation, and OpenAI could be one of them,per the report.

Stargate was originally focused on spending $500 billion on new facilities in the U.S. to help OpenAI develop advanced AI. OpenAI last week said it introduced OpenAI for Countries, a new initiative within the Stargate project to expand its construction of data centers into regions beyond U.S. OpenAI will partner with countries to healp build in-country data center capacity, provide customized ChatGPT to citizens, and parnte countries would invest in expanding the global Stargate project. OpenAI said it aims to pursue 10 projects with individual countries or regions as the first phase of this initiative, and expand from there.

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