Reports that SoftBank and OpenAI were fighting over control of OpenAI's 'Stargate'



In January 2025, OpenAI, in collaboration with Oracle and SoftBank, announced a project called '

Stargate ,' revealing that it would invest $500 billion (approximately 77.5 trillion yen) over the next four years to build a new AI infrastructure in the United States. The initial plan was to secure 10 GW of computing power by the end of 2025, but there have been reported delays to the plan.

Stargate AI data centers for OpenAI reportedly delayed by squabbles between partners — sources say OpenAI, Oracle, and SoftBank disagreed on who would have ultimate control of the planned data centers | Tom's Hardware
https://www.tomshardware.com/tech-industry/artificial-intelligence/stargate-ai-data-centers-for-openai-reportedly-delayed-by-squabbles-between-partners-sources-say-openai-oracle-and-softbank-disagreed-on-who-would-have-ultimate-control-of-the-planned-data-centers

Elon Musk's 'Stargate' Skepticism Vindicated? OpenAI-SoftBank Deadlock Stalls Project, Says Report
https://www.ndtvprofit.com/technology/elon-musks-stargate-skepticism-vindicated-openai-softbank-deadlock-stalls-project-says-report-11126303

According to The Information , development of the Stargate data center has not yet begun as of February 2026, and a dispute has arisen between OpenAI and SoftBank. The Information emphasizes that differences of opinion between OpenAI and SoftBank are the main reason for the project delay.

OpenAI initially wanted to go it alone to own its own data center, but investors were reluctant to accept the huge initial costs, so it continued discussions with partners.



Oracle announced that it had secured a contract with OpenAI to build a massive Stargate data center with more than 2 million GPUs by late 2025. This agreement did not include SoftBank, and at the time, it was reported that SoftBank Group Chairman Masayoshi Son and OpenAI CEO Sam Altman were at odds over key terms, such as the location of the data center, suggesting that the negotiations were proving difficult.

OpenAI and Oracle sign contract to build 4.5 gigawatt data center as part of 'Stargate,' a massive project worth over 70 trillion yen, in which SoftBank also participates - GIGAZINE



OpenAI had been planning a 1GW data center in Texas, but it was temporarily put on hold to prioritize negotiations with Oracle. When the company reconsidered the plan, it brought in SoftBank as a partner. However, the transition was not smooth, and it has now been reported that the two companies fought over control. OpenAI and SoftBank reached an impasse over who would own the data center, the percentage of funding, and who would build it. The disagreements dragged on for several months, ultimately resulting in OpenAI losing its construction period and general contractor.

The two companies ultimately reached a compromise, with SoftBank reportedly owning and developing the land, and OpenAI managing the design and leasing it for a long period of time. In September 2025, Oracle, SoftBank, and OpenAI unveiled a plan to build five AI data centers across the US, including in Texas.

OpenAI and SoftBank announce plans to build five massive AI data centers in the US - GIGAZINE



After months of delays, Stargate is finally back on track, and the three companies appear to be making progress on multiple projects, though it remains unclear when work will begin. Sachin Katti, head of scaling at OpenAI, said of Stargate, 'Demand is growing, and no single provider, chip, or cloud can handle the load. A distributed computing model is the only way to scale at the pace AI demands.' He also noted that Stargate cannot proceed without partnering with other companies.




Reuters wrote, 'Unfortunately, the costs of this are too high for an organization like OpenAI, which has yet to achieve profitability and will not be able to do so in the near future. Still, many investors believe in the company's potential, and its latest funding round is expected to reach a significant valuation.'

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