The race to dominate the world of advanced computing just hit a massive new milestone, and this one isn’t about microchips—it’s about electricity. In a strategic maneuver that highlights the insatiable energy demands of modern technology, SB Energy, an infrastructure powerhouse, has secured a staggering $1 billion joint investment from two of the biggest names in tech and finance: the AI giant, OpenAI, and the investment behemoth, SoftBank Group.
The deal, where both companies contributed $500 million, is a direct response to what many experts now call the single largest bottleneck for innovation: reliable power at an unimaginable scale. Developing sophisticated computer models requires massive data centers, and those data centers chew through energy at a pace that is already straining regional electric grids across the United States. This massive cash injection is intended to accelerate the buildout of next-generation, purpose-built digital infrastructure designed specifically to keep the world’s most advanced computing running.
The core of this partnership centers on a colossal project in the heart of Texas. SB Energy will be responsible for building and operating a new data center campus in Milam County for OpenAI. This facility is planned to boast a staggering capacity of 1.2 gigawatts (GW). To put that into perspective, a single gigawatt is roughly enough continuous power to supply electricity to three-quarters of a million American homes.
This undertaking is not merely a standard construction job; it’s a strategic alliance. SB Energy, which has a strong history in large-scale renewable projects—including developing the 900 megawatt Orion Solar Belt in the same county for a major tech company—will leverage its experience in developing energy infrastructure. Meanwhile, OpenAI will contribute its deep expertise in designing data centers that are hyper-optimized for its unique computing needs. This collaboration allows the partners to essentially leapfrog the lengthy utility interconnection queues and permitting delays that have slowed down other large power projects nationwide, ensuring a dedicated and accelerated power supply.
The investment is part of a much larger, multi-year commitment, dubbed the “Stargate Initiative,” which aims to secure critical infrastructure for the global computing boom. For SB Energy, which is a key player in U.S. renewable energy and battery storage development with a project pipeline exceeding 20 GW, this new funding round solidifies its role at the intersection of energy and computing. Beyond the $1 billion from its two main partners, SB Energy also secured an additional $800 million in redeemable preferred equity from investment firm Ares, further fueling its rapid expansion plans.
The first of these new facilities in Texas is already under construction, with initial operations expected to begin in 2026. The partners have stated a commitment to designing the new Texas power generation to protect local ratepayers and have focused the data center design on minimizing water usage, reflecting the environmental considerations that come with such massive industrial development. Ultimately, this billion-dollar handshake between finance, computing, and energy infrastructure marks a defining moment, illustrating how integral direct energy investment has become to the future of high-tech development.
