Critiqs

OpenAI backs Abu Dhabi data center megaproject

openai-backs-abu-dhabi-data-center-megaproject
  • OpenAI is partnering with G42 to launch a 5-gigawatt AI data center in Abu Dhabi, outscaling past projects.
  • This new hub is part of the Stargate plan and will strengthen technology ties between the US and UAE.
  • After cutting China links, G42 secured a $1.5 billion Microsoft investment for regional AI expansion.

OpenAI is preparing to play a leading role in a monumental 5-gigawatt data center initiative set for Abu Dhabi, putting the company at the forefront of one of the globe’s most ambitious artificial intelligence infrastructure projects. Recent reports indicate this massive campus will stretch across 10 square miles, requiring power on par with five nuclear plants, easily outscaling any previously revealed AI facilities from OpenAI or rival organizations.

This landmark development is being spearheaded in partnership with G42, a prominent technology conglomerate based in Abu Dhabi. The joint effort is part of OpenAI’s larger Stargate endeavor, an international plan that could see OpenAI, SoftBank, and Oracle rolling out cutting-edge data centers packed with high-performance computing resources for advancing artificial intelligence.

Expansion in the Middle East Raises Stakes

OpenAI’s first Stargate hub is already underway in Abilene, Texas, with an anticipated output of 1.2 gigawatts, but the planned UAE center would multiply that capability more than fourfold. This bold move strengthens ongoing AI collaboration between the United States and the United Arab Emirates, a relationship that has developed over several years and drawn attention from lawmakers concerned about international technology oversight.

The foundation for this partnership was laid in 2023 when OpenAI joined forces with G42 to expand AI innovation throughout the Middle East. During a high-profile appearance in Abu Dhabi, OpenAI CEO Sam Altman acknowledged the UAE’s forward-thinking approach to artificial intelligence.

G42, established in 2018 and led by a key figure in the UAE government, has faced ongoing scrutiny regarding its associations and data security protocols. Concerns over G42’s previous partnerships, including links with organizations in China, have been highlighted by US officials monitoring the flow of advanced technology.

Responding to international pressure, G42’s leadership stated in early 2024 that the company had ended all ventures in China and no longer maintained any physical operations there. Soon thereafter, Microsoft deepened its stake in G42 with a $1.5 billion investment, bringing its president onto the company’s board and reinforcing its commitment to regional AI development.

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