OpenAI inks massive Ohio data center deal

OpenAI has announced a significant expansion into the physical infrastructure powering artificial intelligence, agreeing to secure approximately 8 gigawatts of IT capacity at the PORTS-Pike Technology Campus in Pike County, Ohio. This move, detailed in an OpenAI News announcement, places the AI research giant at the heart of a massive new data center development.

StartupHub data

SB Energy

SE

SB Energy

A subsidiary of SoftBank, focused on energy infrastructure development.

Location

Ohio-Kentucky border, USA

Funding

$33.0B

OpenAI

OpenAI is an AI research and deployment company dedicated to ensuring that artificial general intelligence benefits all of humanity.

Founded

2015

Location

San Francisco, United States

Valuation

Private / $100B+ est

Anthropic

Anthropic is an AI safety and research company building reliable, interpretable, and steerable AI systems, best known for the Claude family of models.

Founded

2021

Location

San Francisco, California, USA

Valuation

Private / $100B+ est

Prometheus

AI startup led by Jeff Bezos.

Founded

2023

Location

San Francisco, United States

Valuation

$41.0B

The project, a collaboration with SB Energy and Nvidia (NASDAQ:NVDA), aims to tap into a region with historical industrial significance. OpenAI is committing to cover project-specific energy and infrastructure costs, manage water responsibly, and foster local economic growth. The development is projected to generate 35,000 construction jobs over a six-year buildout through 2032, followed by 2,500 long-term operating roles. A substantial $40 million community grant fund, mirroring SB Energy's existing commitment, will be established to support local priorities identified by residents.

AI's Physical Footprint Expands

This development underscores the immense physical infrastructure demands of advanced AI. As models like those powering ChatGPT become more sophisticated, they require massive amounts of computing power and, consequently, vast data centers. OpenAI, which StartupHub.ai data shows has a score of 86/100 and verified financials including $100B raised in 2026 at an $850B valuation, is making a strategic play to secure this capacity. Its primary competitors, such as Anthropic (score 76/100) and others like Prometheus (64/100), are also scaling their operations, often necessitating similar infrastructure plays.

Community Investment and Local Impact

Beyond the technological implications, the PORTS-Pike project emphasizes community integration. OpenAI and SB Energy pledge to prioritize local workers, contractors, and suppliers. The combined $80 million in community investment, alongside hundreds of millions in projected state and local tax revenue, aims to revitalize Southern Ohio. This includes workforce training initiatives, partnering with unions and educational institutions to prepare residents for construction and technical roles. The project is also committed to responsible water usage, employing closed-loop, air-cooled systems to minimize consumption compared to historical industrial uses at the site.

Empowering the Next Generation of AI Talent

A unique aspect of the agreement involves equipping future talent. OpenAI will provide up to $84 million in Codex credits to roughly 844,000 eligible Ohio college students. This initiative, accessible through ChatGPT accounts, offers hands-on experience with AI tools for software development and technical projects. The goal is to foster practical skills in fields ranging from engineering to the skilled trades, potentially attracting and retaining young talent in the region.

A New Era for a Historic Site

The PORTS-Pike Technology Data Center is being developed on land previously controlled by the Department of Energy at the former Portsmouth Gaseous Diffusion Plant. This transformation repurposes a site that once supported American industry and national security for the burgeoning needs of AI infrastructure. SB Energy will build, own, and operate the data center, leasing capacity to OpenAI for 20 years. Nvidia is also a key partner, investing $1.5 billion in SB Energy and providing credit support for the initial buildout. The first 800 megawatts are slated for availability in 2028, with further expansion contingent on grid upgrades and financing.

The companies plan to jointly publish technical white papers detailing lessons learned from the project, focusing on resilient infrastructure design and workload management. This initiative positions the PORTS-Pike data center as a potential model for future AI supercomputer designs, aiming for higher availability and reliability. OpenAI intends to use this capacity to meet the growing demand for its advanced AI models and maintain its leading position in frontier AI research.