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“Microsoft and OpenAI plan to build a $100 billion data center”

March 5, 2024 Artificial Intelligence
“Microsoft and OpenAI plan to build a $100 billion data center”

The massive project expected to be funded by Microsoft and OpenAI is a giant data center estimated to be worth $100 billion, The Information reported. The project will include a supercomputer known as a Stargate, which is powered by artificial intelligence.

The project, which is expected to cost about 100 times more than the largest existing data centers, is scheduled to launch by 2028. The proposed supercenter will be based in the United States and will be the largest in a series of facilities that the two companies are looking to build over the next six years.

Stargate is the fifth generation of the supercomputer series that the two companies are working on together. Currently, Microsoft is working on a smaller, fourth-generation OpenAI supercomputer, which it expects to launch around 2026.

In response to the report, Frank Shaw, a Microsoft spokesman, said: “We are always planning for the next generation of infrastructure innovations needed to continue pushing the boundaries of AI capabilities.

According to the report, the cost of the proposed project could exceed $115 billion, which is more than three times what Microsoft spent last year on servers, buildings and other equipment. The reason for the major cost is the high prices of artificial intelligence chips from external suppliers, as the price of the latest artificial intelligence chip from NVIDIA, called the Blackwell B200, ranges between 30 and 40 thousand US dollars, and the report indicated that the project will depend on different chip suppliers.

What are the goals that the Stargate project aspires to achieve?

Stargate was established as a secret project in 1978 in a partnership between the Defense Intelligence Agency (DIA) and SRI International, a California contractor. The goal of the project was to explore psychological capabilities and their application in military and local intelligence operations.

The main mission of the Stargate project was remote viewing, the alleged ability to “see” events and locations or obtain information from great distances.

According to reports, it was believed that the results obtained were ambiguous and included irrelevant and erroneous data, and there were doubts about the reliability of the judge. The Stargate and decryption project was terminated in 1995 after a CIA report concluded that it was not useful in any intelligence operation.

Based on this information, it can be said that the primary goal of the Stargate project was to explore psychological capabilities and apply them to military operations and domestic intelligence. However, it appears that the results were not sufficient to justify continuing the project.

How does this project contribute to the development of our industry?

The Stargate mega data center, being planned by Microsoft and OpenAI, is expected to provide a range of tremendous benefits to many sectors. Here are some examples:

1-Artificial Intelligence and Machine Learning: Stargate can run the most complex AI and machine learning models, which can help develop automated systems in a wide range of sectors, from healthcare to manufacturing.

2-Scientific research: Stargate’s vast computing capabilities can be used in areas of scientific research, such as analyzing large and complex data, running scientific simulations, and accelerating discoveries in fields such as physics, chemistry, and biology.

3-Big Analytics: Stargate will be able to store and process massive amounts of data, which can help companies extract value from their data, improve their operations and make better decisions.

4-Cybersecurity: Thanks to the ability to analyze data at breakneck speeds, Stargate can help detect and respond to security threats faster, which can improve the cybersecurity of companies and organizations.

5-Digital Transformation: Stargate can help companies accelerate their digital transformation endeavors, which can improve the efficiency of operations and reduce costs.

It is worth noting that these are just some examples, and the actual benefits will depend on the way the Stargate is used.

What are the most prominent ways that companies can use Stargate to improve their services?

Undoubtedly, businesses can leverage Stargate in many ways to enhance their services. Here are some examples:

1-Developing services using artificial intelligence: Stargate will be able to run the most complex models of artificial intelligence and machine learning, which can help companies develop their services and provide personalized experiences to customers.

2-Big Data Analysis: Stargate will be able to store and process massive amounts of data, which can help companies extract value from their data, improve their operations, and make better decisions.

3-Cybersecurity: Thanks to the ability to analyze data at breakneck speeds, Stargate can help detect and respond to security threats faster, which can improve the cybersecurity of companies and organizations.

4-Digital Transformation: Stargate can help companies accelerate their endeavors towards digital transformation, which can improve the efficiency of operations and reduce costs.

However, companies should be aware that taking full advantage of Stargate may require significant financial resources, given the high cost associated with high-performance computing. In addition, advanced technical skills may also be necessary to manage and use data and systems efficiently.

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