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In February 2024, Reuters reported that OpenAI CEO Sam Altman was discussing a global initiative that could require $5 trillion to $7 trillion to expand semiconductor manufacturing and the power supply needed for AI. The figure described an early-stage proposal—not money OpenAI had raised, a finalized budget, or a signed construction program.
What was the $5 trillion–$7 trillion proposal?
Reuters reported in February 2024 that Altman was discussing the initiative with investors, including the United Arab Emirates. The proposed effort would bring together OpenAI, investors, chipmakers, and power providers to expand chip-manufacturing capacity and the electricity needed to run AI systems. Much of the effort might be financed with debt, according to the report.
The reports did not specify a finalized number of fabs, construction schedule, map of sites, project valuation, or signed investor commitments. The $5 trillion–$7 trillion figure should therefore be understood as a reported estimate of the scale of the discussions, not a confirmed funding target that had reached financial close.
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A separate Reuters report in January 2024 said the venture was intended to create a network of semiconductor factories, or fabs, and named Intel, Taiwan Semiconductor Manufacturing Co. (TSMC), and Samsung Electronics as potential partners. They were possibilities under discussion, not confirmed builders with signed agreements to finance or construct facilities.
Did Altman confirm the $7 trillion figure?
No. At an Intel event, the Associated Press reported that Altman did not confirm the figure. His on-record comment addressed the broader need for AI computing capacity:
“The kernel of truth is we think the world is going to need a lot more (chips for) AI compute.”
That statement supports the general point that AI could require substantially more chips. It does not validate the $7 trillion estimate.
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Advanced semiconductor fabs require substantial capital, and a wider supply expansion would also depend on electricity and other supporting resources. The proposal reflected concern that demand for AI chips could outpace available supply; it was broader than a plan to build factories alone.
The Semiconductor Industry Association forecast that global chip sales would grow 13.1% to $595.3 billion in 2024, after an approximately 8% decline in 2023. That industry sales forecast helps show the scale of the market, but it is not a measure of the proposed initiative’s financing or expected revenue.
How is the 2024 proposal different from Stargate?
OpenAI announced Stargate in January 2025 as a separate U.S. AI infrastructure program. The similarities are the focus on expanding capacity and the involvement of OpenAI and large infrastructure partners; the announced scope, funding figure, geography, and status differ.
Rank #4
| Comparison | 2024 fab discussions | Stargate |
|---|---|---|
| Status | Early-stage discussions described by Reuters; the $5 trillion–$7 trillion figure was reported, not a confirmed financing close. | Announced by OpenAI in January 2025 as a new company intending to invest $500 billion over four years. |
| Physical scope | A proposed global network of semiconductor fabs, with added power capacity for AI. | U.S. AI infrastructure. OpenAI named data-center capacity and supporting infrastructure in later project updates; Stargate is not the same fab proposal. |
| Named funders or partners | Potential manufacturing partners reported in January 2024: Intel, TSMC, and Samsung Electronics. Reuters also reported discussions with investors, including the UAE; no signed commitments were specified. | Initial equity funders named by OpenAI: SoftBank, OpenAI, Oracle, and MGX. Key technology partners: Arm, Microsoft, NVIDIA, Oracle, and OpenAI. |
| Reported execution evidence | The reports did not establish a finalized fab count, schedule, site map, valuation, or signed commitments. | OpenAI said in September 2025 that five new sites, the Abilene, Texas, flagship, and CoreWeave projects represented nearly 7 gigawatts of planned capacity and more than $400 billion in investment over the next three years. It said this put Stargate on a path toward its announced $500 billion and 10-gigawatt commitment. In an April 2026 update, OpenAI said it had surpassed the 10-gigawatt U.S. infrastructure milestone ahead of its 2029 commitment, after adding more than 3 gigawatts in the preceding 90 days. |
Was the $7 trillion ever raised?
The cited reporting does not establish that it was. The figure remained tied to the 2024 discussions, and Altman did not publicly confirm it at the Intel event. Stargate’s later announced investment and capacity milestones are evidence of a distinct infrastructure program, not evidence that the original global fab proposal was funded.
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