OPENAI AND ORACLE SIGN $300 BILLION DEAL TO BUILD OUT STARGATE — THE LARGEST DATA CENTER CONTRACT IN HISTORY

OpenAI has signed a five-year, $300 billion contract with Oracle to purchase 4.5 gigawatts of cloud computing capacity, representing the single largest data center infrastructure deal ever recorded. The contract takes effect in 2027, the start of Oracle’s fiscal 2028, and commits to building out 4.5 gigawatts of additional Stargate data center capacity across the United States. To put the scale in perspective, 4.5 gigawatts is roughly the power output of four large nuclear reactors running continuously to serve AI workloads.

Stargate was originally announced in January 2026 as a $500 billion joint venture between OpenAI, SoftBank, and Oracle, with the stated goal of building AI infrastructure on a national scale. The Oracle contract converts that ambition into a binding commercial agreement. Separately, Oracle has also opened up access to OpenAI models and Codex through existing Oracle Cloud Infrastructure commitments, letting enterprise customers apply their cloud credits toward OpenAI usage. That integration is expected to go live in coming weeks.

The deal reshapes Oracle from an aging database company into one of the most critical nodes in the AI supply chain. For OpenAI, it locks in the compute backbone the company needs to scale models well beyond current capabilities. The bet on both sides is that AI compute demand will not plateau anytime soon. So far, that bet has not been wrong.

Keywords: OpenAI Oracle Stargate deal, $300 billion data center contract, AI infrastructure cloud, Stargate AI project