Microsoft, Open AI’s Next Gen Supercomputer

The $100 billion data project that Microsoft and OpenAI are working on will have an AI supercomputer named “Stargate” that is scheduled to debut in 2028.

Microsoft is probably going to provide the funding for the project, which is anticipated to be 100 times more expensive than some of the biggest data centres now in place.

The firms intend to construct a series of supercomputers over the following six years, the largest of which will be the proposed U.S.-based model.

A person who discussed the estimated cost of $100 billion with Altman and another who saw some of Microsoft’s preliminary cost calculations were credited with it.

Stargate is the fifth stage in a five-phase strategy for supercomputers that Microsoft and OpenAI are working on together. Additionally, Microsoft is developing a smaller fourth-phase supercomputer for OpenAI, which should be available by 2026.

The plan’s third stage is purchasing the required AI chips; according to Nvidia CEO Jensen Huang, the most recent “Blackwell” B200 chip will cost between $30,000 and $40,000.

In order to advance AI capabilities, Microsoft is preparing for the next wave of infrastructure advancements, which will utilise processors from various manufacturers.

The plan’s costs might come close to $115 billion, which is more than three times what Microsoft spent on capital expenditures for buildings, servers, and other equipment last year.