Trump to Announce New AI Investment Push With OpenAI, Softbank, Oracle

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(Bloomberg) — President Donald Trump is expected to announce a new investment push for artificial intelligence led by Softbank Group Corp., OpenAI LLC, and Oracle Corp., with the three companies preparing to announce a joint venture worth billions of dollars.

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Trump will be joined by Softbank’s Masayoshi Son, OpenAI’s Sam Altman, and Oracle’s Larry Ellison to announce an initial $100 billion investment — which could scale up to $500 billion over the next four years — on Tuesday afternoon, according to a White House official.

Oracle’s shares jumped about 6% on the news. The company’s stock is up about 56% over the past year. Softbank’s American depositary receipts rose as much as 5%.

Trump is signaling a wide-ranging approach to ensure US leadership in the emerging technology. Two weeks before taking office, he announced a $20 billion investment from Dubai-based billionaire Hussain Sajwani for new data centers across the US. On Monday, shortly after his swearing-in, he rescinded AI guardrails imposed by Joe Biden and signed a series of measures to boost US energy development to meet a surge in power demand from data centers.

The announcement was first reported by CBS News. The companies did not immediately respond to requests for comment.

It’s unclear if the initiative, which the companies are dubbing “Stargate,” is in addition to or part of the $100 billion that Son pledged SoftBank alone would invest during an event with Trump at his Mar-a-Lago estate last month.

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At the time, Son said the Softbank effort would create 100,000 jobs focused on artificial intelligence and related infrastructure, including investments in data centers, semiconductors and energy.

“I would really like to celebrate the great victory of President Trump and my confidence level to the economy of the United States has tremendously increased with his victory,” Son said at the time.

Despite the public pledge, there were immediate questions over where SoftBank would get the capital to fund its initiative. The company had 3.8 trillion yen ($25 billion) in cash and equivalents on its balance sheet at the end of September. Still, the company’s finances have recovered with the initial public offering of chip design firm Arm Holdings Plc.

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