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OpenAI, Oracle and Vantage to build $15B Stargate data center in Wisconsin

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OpenAI, Oracle (ORCL.N), and Vantage Data Centers announced plans to develop a massive new data center campus in Port Washington, Wisconsin, as part of the multibillion-dollar Stargate initiative designed to keep the U.S. at the forefront of artificial intelligence infrastructure.

The Wisconsin site, named Lighthouse, is set for completion in 2028 and will create more than 4,000 skilled construction jobs, most of them union-based. Backed by Vantage’s $15 billion investment, the facility will be a core component of OpenAI and Oracle’s plan to deliver over 4.5 gigawatts of IT capacity nationwide.

Stargate—envisioned as a $500 billion, 10-gigawatt project—also includes Japan’s SoftBank Group (9984.T) and recently began work on its first AI data center in Abilene, Texas. The initiative aligns with President Donald Trump’s broader strategy to maintain U.S. dominance in advanced computing amid growing competition from China.

OpenAI and its primary backer Microsoft (MSFT.O) are among the major tech firms investing heavily in data centers to power generative AI systems such as ChatGPT and Copilot, both of which demand vast computing resources.

Once operational, the Lighthouse campus will anchor a growing network of Stargate sites being developed with Oracle, generating more than 1,000 long-term jobs and thousands of additional indirect roles in the region.

Vantage, supported by private equity firm Silver Lake and asset manager DigitalBridge (DBRG.N), will oversee the Port Washington buildout as part of its ongoing U.S. data center expansion. The companies said the project marks a crucial step toward meeting the exploding global demand for AI infrastructure.

Microsoft expands Wisconsin AI data center investment to $7 billion

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Microsoft announced plans to build a second major artificial intelligence data center in Wisconsin, raising its total investment in the state to more than $7 billion. The new $4 billion facility will join a $3.3 billion data center already under construction in Mount Pleasant, Racine County, first unveiled last year.

The initial data center is expected to open in 2026 and employ about 500 people, while the addition of the second will expand staffing to around 800. Microsoft says the combined site will eventually host the world’s most powerful AI supercomputer, linking together hundreds of thousands of Nvidia chips.

The development comes on land once earmarked for Foxconn’s highly publicized $10 billion factory, a project dramatically scaled back after initial political fanfare during Donald Trump’s presidency. When President Joe Biden attended Microsoft’s first announcement last year, he highlighted Foxconn’s retreat as a cautionary tale while framing Microsoft’s plan as a sign of renewed investment.

Microsoft said it will pre-pay for electrical infrastructure to avoid burdening local customers with higher power bills and will use Wisconsin’s cold climate for energy-efficient cooling. Annual water consumption will be capped at roughly the level of an average restaurant. To offset its energy use, the company will also build solar power elsewhere in Wisconsin, though Microsoft President Brad Smith noted new fossil fuel generation—specifically liquefied natural gas—will still be part of the mix.

While the 800 permanent jobs fall short of the thousands promised by Foxconn, Smith emphasized the importance of ongoing skilled labor positions, including pipefitters and electricians, needed for both construction and long-term maintenance.

Microsoft raises Wisconsin data center investment to $7 billion with new AI hub

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Microsoft (MSFT.O) announced Thursday that it will build a second large-scale artificial intelligence data center in Wisconsin, boosting its total investment in the state to more than $7 billion.

The $4 billion facility will be built alongside a $3.3 billion data center in Mount Pleasant, unveiled last year. The first site remains on track to open in 2026, employing about 500 people at its peak. Once the second center is completed, total employment is expected to reach about 800.

Microsoft said the expanded site will ultimately host the world’s most powerful AI supercomputer, linking together hundreds of thousands of Nvidia (NVDA.O) chips.

The Racine County location, between Milwaukee and Chicago, has been a political focal point since former President Donald Trump promoted Foxconn’s plan for a $10 billion factory there—a project later drastically downsized. At the launch of Microsoft’s first data center last year, President Joe Biden pointed to Foxconn’s retreat while emphasizing Microsoft’s long-term commitment.

To support the new project, Microsoft said it will pre-pay for electrical infrastructure to prevent higher utility rates in the region. The company will also deploy a state-of-the-art cooling system that leverages Wisconsin’s cool climate, reducing annual water consumption to that of an average restaurant. Solar power will be built elsewhere in the state to offset the data centers’ electricity use, though Microsoft President Brad Smith acknowledged that new fossil fuel generation, including liquefied natural gas, will also be required.

Smith said while permanent jobs will number in the hundreds, construction will create thousands of positions for skilled workers such as electricians and pipefitters. “All the things that we build need to be operated,” he told Reuters. “It needs to be maintained. These are good jobs.”