OpenAI is reportedly taking a massive leap in global AI infrastructure with plans to co-develop a 5-gigawatt data center campus in Abu Dhabi, according to a new Bloomberg report. The facility—spanning a staggering 10 square miles—is set to become one of the largest AI supercomputing hubs in the world, consuming power equivalent to five nuclear reactors.
This colossal buildout positions OpenAI as the anchor tenant for what could mark a new era in AI infrastructure. The project is being developed in partnership with G42, an Abu Dhabi-based technology conglomerate, as part of the broader Stargate initiative. This initiative, first revealed in January 2024, includes global efforts by OpenAI, SoftBank, and Oracle to construct next-generation data centers optimized for AI workloads.
To put the scale in perspective: OpenAI’s first Stargate data center under construction in Abilene, Texas, is expected to reach 1.2 gigawatts. The Abu Dhabi campus would dwarf that—more than quadrupling its capacity.
A Strategic Alliance With Global Tensions Beneath the Surface
The deal deepens OpenAI’s growing ties with the United Arab Emirates, which have been years in the making. The company’s relationship with G42 began in 2023 with a joint initiative to promote AI adoption in the Middle East. OpenAI CEO Sam Altman even highlighted the UAE’s early commitment to AI during a talk in Abu Dhabi that year, noting the country had been “talking about AI since before it was cool.”
Yet, the expanding partnership has raised red flags in Washington. G42 is chaired by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security advisor and brother to the nation’s ruler. In late 2023, U.S. lawmakers voiced concerns over the firm’s alleged ties to Chinese entities, including Huawei and the Beijing Genomics Institute—both of which have been blacklisted by the U.S. government due to national security concerns.
Following this pressure, G42’s CEO stated in early 2024 that the company had already divested from all China-based investments and no longer maintains any physical presence there. This pivot appeared to calm U.S. concerns, paving the way for deeper collaborations.
Shortly after, Microsoft—a key OpenAI investor—announced a $1.5 billion stake in G42. Microsoft President Brad Smith also joined G42’s board, signaling not only trust but a strategic alignment in shaping the region’s AI future.
Despite geopolitical sensitivities, the UAE has become an increasingly attractive destination for AI infrastructure, offering vast land, access to capital, and government-level enthusiasm for emerging technologies. If completed as planned, the OpenAI Abu Dhabi data center could transform the region into a global hub for artificial intelligence and supercomputing—and send a clear message that the race for AI dominance now runs through the desert.
