The USA has announced an ambitions $500 billion investment in AI infrastructure. It will be a private sector investment aiming to take a lead over the rival nations in the business-critical technology.

It will be a joint venture of OpenAI, SoftBank and Oracle. The venture will be called Stargate.

Its project will be to build infrastructure of data centers and create more than 1 lac jobs in the US. The first project is under construction at Texas.

Masayoshi Son, Sam Altman and Larry Ellison launched the project from the White House in presence of President Trump.

The project will have 20 such infrastructure data centers spanning half a million square feet each.

The ultimate aim is to build artificial general intelligence (AGI). Microsoft has already collaborated with OpenAI for a $100 billion data center with an AI supercomputer also called Stargate.

AI does require leave capital expenditure in computing power (pushing demand for specialized data centers) to link thousands of chips together in clusters. They should also produce a lot of electricity, by setting up captive plants if necessary.

Stargate is a part of US-China tech battle. India should also look at foundational AI development. India’s reliance on US technology is evident but it will never adopt Chinese AI application programming interface.