OpenAI is poised for a significant transformation in its data center strategy, as it plans a major shift from relying primarily on Microsoft to using SoftBank-backed Stargate for its computing needs. As the startup's costs are anticipated to soar dramatically, this strategic pivot is expected to unfold over several years. By 2030, OpenAI projects that three-quarters of its data center capacity will be sourced from Stargate.
Stargate, heavily financed by SoftBank, represents a crucial component of OpenAI's future infrastructure. SoftBank, one of OpenAI's newest financial backers, plays a pivotal role in facilitating this transition. The move comes as OpenAI forecasts a significant increase in operational costs, with an anticipated $20 billion cash burn by 2027, a substantial rise from the $5 billion reported in 2024.
While OpenAI plans to increase its spending on data centers owned by Microsoft in the short term, the startup is looking to Stargate for the long haul. Microsoft, currently OpenAI's biggest shareholder, fulfills most of the startup's power needs today. However, OpenAI is forecasting a major shift in the next five years, with Stargate expected to take on a substantial portion of its computing power requirements by 2030.
This strategic shift indicates a changing landscape for OpenAI, as it navigates the growing demands of running AI models. By 2030, the startup anticipates that costs related to running AI models, known as inference, will exceed those associated with training AI models. This evolution underscores OpenAI's need for scalable and efficient data center solutions.
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