OpenAI and SoftBank are experiencing significant financing delays for their ambitious Stargate project, originally touted for a $100 billion investment in AI infrastructure. Complicated by President Trump's trade policies and aggressive tariffs, the financing talks have not produced a concrete model nor serious investor engagement. Prominent lenders have not materialized deals, as they reconsider the data center value amidst economic uncertainty and lower-cost competitors. The planned collaboration faces hurdles, with SoftBank struggling to establish a feasible financing structure three months post-announcement.
Despite the promise of a $100 billion investment in AI infrastructure in the US, economic risks tied to trade tariffs have significantly delayed financing discussions for the Stargate project.
Higher capital costs and lenders' reluctance to take risks, compounded by concerns over a potential global recession, are complicating financial forecasts and slowing the progression of AI investments.
Collection
[
|
...
]