OpenAI and SoftBank Group will each invest $500 million in SB Energy, the companies confirmed on Friday. This brings the total investment to $1 billion and aims to expand AI data centre and power infrastructure in the United States.

SB Energy will use the funds to build and run large-scale energy and data facilities. These campuses will help meet soaring demand for electricity and computing power needed for artificial intelligence systems. Meanwhile, SB Energy will begin construction of its first facilities this year.

⚡ Funding Supports Stargate Buildout

The investment is part of the massive Stargate initiative, a multi-year, multi-billion-dollar plan to create AI data centres for training and inference workloads. This project targets billions in infrastructure across several states. In addition, it has attracted backing from major investors including Oracle.

OpenAI will also become a customer of SB Energy. It plans to deploy its own AI tools inside these facilities. For example, the company will integrate conversational AI technologies into business operations run by SB Energy.

🛠️ Meeting Growing Power Demands for AI

AI models need vast amounts of electrical power to run. Because of this, tech firms are investing directly in energy systems as well as data centres. OpenAI’s push into energy infrastructure reflects this trend, which AI leaders see as vital to future innovation.

Experts say that the energy demand from increased AI training and inference runs could strain existing grids without new infrastructure. Therefore, funding power and data centre builds together makes strategic sense for companies leading AI development.

📍 Texas Data Centre and Job Creation

One of the initial planned facilities sits in Milam County, Texas. It will feature a 1.2-gigawatt data centre and power complex. Because of this scale, developers expect significant hiring during construction and operation phases.

Local officials welcomed the announcement. They said the project could boost the regional economy and provide long-term jobs linked to AI and energy services. Meanwhile, businesses near the site are preparing to engage with the new facilities once they come online.

🌐 Broader Industry Response

Other tech giants are also building AI infrastructure. For example, firms like Meta Platforms and Google have invested heavily in data centre campuses and power systems. This trend shows a drive toward resilience and control over the resources needed to power AI workloads at scale.

Because AI competition is intensifying globally, companies aim to secure energy and compute resources early. As a result, investments like this could influence how AI ecosystems grow in the U.S. and abroad.