OpenAI is exploring a large-scale data center project in Argentina as part of its first Stargate initiative in Latin America, the company announced Tuesday. The proposal could see an investment of up to $25 billion into the country, equivalent to roughly 4% of its gross domestic product last year. The ChatGPT maker is working with local energy firm Sur Energy as the infrastructure developer for the planned 500-megawatt facility, which will focus on advanced AI computing.
Argentina is one of the more developed AI markets in the region, especially with respect to available infrastructure. A new report by Chile’s national AI center and the UN’s Economic Commission for Latin America and the Caribbean ranked it sixth in the region. While much of the world’s AI focus has been concentrated on the US, Europe, and China, Latin America is becoming a global hot spot for new data center builds. The investment could help the region diversify away from commodities and position it as a key cog in the digital supply chain.