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OpenAI to Build Massive 5-Gigawatt AI Data Center in Abu Dhabi

OpenAI to Build Massive 5-Gigawatt AI Data Center in Abu Dhabi

July 30, 2025
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OpenAI to Build Massive 5-Gigawatt AI Data Center in Abu Dhabi

OpenAI is set to spearhead a colossal 5-gigawatt data center campus in Abu Dhabi, establishing itself as a key tenant in one of the world’s largest AI infrastructure initiatives, per a recent Bloomberg report.

The facility will reportedly cover 10 square miles and require power equivalent to five nuclear reactors, surpassing any AI infrastructure disclosed by OpenAI or its rivals. (OpenAI has not responded to TechCrunch’s inquiry, but for context, the site exceeds Monaco’s size.)

Developed with G42, an Abu Dhabi-based tech group, the UAE project is part of OpenAI’s Stargate initiative, a January-announced venture with OpenAI, SoftBank, and Oracle to construct global data centers equipped with advanced chips for AI advancement.

While OpenAI’s U.S. Stargate campus in Abilene, Texas, is slated for 1.2 gigawatts, this Middle Eastern hub would more than quadruple that capacity.

The project aligns with deepening AI ties between the U.S. and UAE, a relationship that has sparked concern among some lawmakers.

OpenAI’s collaboration with G42 began in 2023 to boost AI adoption in the Middle East. During a 2023 Abu Dhabi talk, OpenAI CEO Sam Altman lauded the UAE’s early embrace of AI, noting its forward-thinking approach.

These ties are complex. Founded in 2018, G42 is led by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security advisor and brother of its ruler. U.S. officials raised alarms in 2023, citing G42’s potential to share advanced U.S. tech with China’s government.

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Concerns centered on G42’s ties to blacklisted entities like Huawei and Beijing Genomics Institute, as well as links to China’s intelligence network.

After U.S. pressure, G42’s CEO told Bloomberg in 2024 that the company had divested all China investments, stating: “We no longer require a physical presence in China.”

Shortly after, Microsoft, a major OpenAI investor with regional interests, committed $1.5 billion to G42, with its president, Brad Smith, joining G42’s board.

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Comments (1)
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BrianRoberts
BrianRoberts August 29, 2026 at 10:00:07 PM EDT

Wow, 5 gigawatts? That's insane energy consumption. I wonder if the grid can handle it without causing blackouts elsewhere. Also, is this really sustainable for the environment? 🤔

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