OpenAI SoftBank SB Energy Investment Fuels AI Data Centers
OpenAI SoftBank SB Energy investment backs SB Energy's build of large AI data centers and power and could shift investor flows toward infrastructure names.
KEY TAKEAWAYS
- OpenAI and SoftBank each invested $500 million into SB Energy, totaling $1 billion of equity.
- OpenAI signed a 1.2 GW Milam County lease for the initial hyperscale build.
- SB Energy plans multi-gigawatt campuses with initial facilities expected to enter service starting in 2026.
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OpenAI and SoftBank Group announced on Jan. 9, 2026, a strategic partnership directing fresh equity into SB Energy to expand development and operation of large AI data-center campuses and associated power infrastructure, accelerating the Stargate infrastructure program.
Partnership and Capital Investment
OpenAI and SoftBank Group will each invest $500 million of equity into SB Energy, totaling $1 billion, to support SB Energy’s role as a developer and operator of large-scale AI data-center campuses and related energy assets. The partnership builds on a previously announced $500 billion Stargate AI infrastructure commitment from January.
The three parties have formed a non-exclusive preferred partnership to combine OpenAI’s first-party data-center designs with SB Energy’s development and integrated energy capabilities. The arrangement aims to create a repeatable model for future campus builds.
SB Energy, described as a SoftBank Group company, operates as a fully integrated U.S. infrastructure development and ownership platform with expertise in project development, construction, engineering, supply-chain management, financing, power marketing, and asset management.
To strengthen its in-house capabilities, SB Energy recently acquired Studio 151, a data-center construction-management and operations firm with experience across 20 campuses. SB Energy and OpenAI had collaborated with Studio 151 on multiple projects over the previous 18 months.
In 2025, Ares Infrastructure Opportunities funds invested $800 million of redeemable preferred equity in SB Energy, marking their third financing with the company since 2020. The current $1 billion equity infusion further deepens SB Energy’s capital base for large data-center and energy projects.
SB Energy will also become a major customer of OpenAI, planning to use OpenAI’s application-programming interfaces and deploy ChatGPT for internal operations.
Milam County Data Center and Buildout Plans
OpenAI selected SB Energy to build and operate its previously announced 1.2 gigawatt (GW) Milam County data-center site in Texas under a formal lease. This site serves as the initial hyperscale build in a broader pipeline of multi-gigawatt campuses.
The Milam County project is designed to minimize water usage and is expected to create thousands of construction jobs. SB Energy and OpenAI plan to develop new power generation and pursue grid modernization to support the data center’s energy needs while protecting Texas ratepayers.
SB Energy is currently developing several multi-gigawatt data-center campuses, with initial facilities under construction and expected to enter service starting in 2026. The companies intend to invest in communities through well-paying jobs, workforce development, and grid upgrades to support local economic growth.
