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    Home / News / Technology News / Microsoft, OpenAI working on a $100 billion supercomputer project
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    Microsoft, OpenAI working on a $100 billion supercomputer project
    It's not clear where the supercomputer would be located

    Microsoft, OpenAI working on a $100 billion supercomputer project

    By Akash Pandey
    Mar 30, 2024
    03:21 pm

    What's the story

    Microsoft and OpenAI are jointly developing a groundbreaking supercomputer called "Stargate," reported The Information, citing three individuals involved in private conversations about the proposal.

    The project, estimated to cost $100 billion, is part of a five-phase strategy focusing on sequential supercomputer installations over the next six years.

    Stargate will be operational by 2028, as per the report.

    AI enhancement

    Stargate project to enhance OpenAI's efficiency

    The primary objective of the Stargate project is to boost OpenAI's artificial intelligence capabilities.

    Executives from both companies have already formulated plans for the data center project.

    Microsoft, which has invested over $13 billion in OpenAI, is expected to finance the supercomputer.

    Currently, OpenAI uses Microsoft's data centers for its AI system ChatGPT, giving Microsoft exclusive rights to market OpenAI's technology.

    Cost and power

    High cost and power requirements

    The proposed cost of the supercomputer could exceed that of the largest existing data centers by a factor of 100.

    This indicates significant investment into the industry as AI continues to advance.

    Interestingly, Stargate is said to have the potential to surpass the computational power currently provided by Microsoft's nationwide data centers to OpenAI, but it would require several gigawatts of power to do so.

    Information

    Location and energy sources still undecided

    The exact location of the Stargate supercomputer remains uncertain, as does whether it will be housed in one or multiple nearby data centers. Microsoft and OpenAI are considering alternative energy sources like nuclear power for the project.

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