Oracle (ORCL) stock jumped 7% on Tuesday after a report said the company was set to be part of a $500 billion investment in AI infrastructure that will be announced by President Trump on Tuesday.
CBS News reported Tuesday Trump is set announce a new private sector investment to build artificial intelligence infrastructure in the US, with Oracle, ChatGPT creator OpenAI, and Japanese conglomerate SoftBank (9984.T) among those committing to the joint venture.
The joint venture, called Stargate, is expected to begin with a data center project in Texas, CBS reported, and company execs were expected to commit to an initial investment of $100 billion at an appearance at the White House Tuesday. Other companies are expected to join the venture and bring investment in the program up to $500 billion in the coming years.
SoftBank CEO Masayoshi Son, OpenAI chief Sam Altman, and Oracle CEO Larry Ellison were all expected to be in attendance at Tuesday’s event.
On Monday, Trump signed a wave of executive orders, which included rescinding a Biden-era executive order that established safety guidelines for generative AI. The order had required large language models to share safety test results with the US government and tasked federal agencies with assessing potential risks.
Big Tech executives, including Amazon’s Jeff Bezos, Meta’s Mark Zuckerberg, and Apple’s Tim Cook, were in attendance at the president’s inauguration on Monday as the sector cozied up to Trump in the wake of his November election win.
Other day one actions from the president included invoking a national energy emergency, as well as a heavy focus on immigration. More actions are expected later this week, including greater clarity on Trump’s highly anticipated tariff plans.
Alexandra Canal is a Senior Reporter at Yahoo Finance. Follow her on X @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.
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