Construction is officially underway for the Oracle and OpenAI Stargate data center campus in Saline Township, Michigan. The groundbreaking ceremony, held on June 1, marked a significant milestone for the project, which promises to bring major infrastructure, jobs, and community investments to the region.
Known as "The Barn", the campus will feature three data center buildings, each measuring 550,000 square feet (51,100 square meters). Construction is already progressing rapidly, with the first building nearing completion. The entire project is expected to deliver an impressive 1GW of capacity upon completion and represents a $10 billion investment in development.
According to OpenAI CEO Sam Altman, some initial construction work began earlier this year. "The first steel beams had been installed at the campus in late March 2026", he stated.
The initiative is the result of collaboration between Related Digital, Oracle, OpenAI, Walbridge, and others. Despite initial delays due to funding challenges, the project secured financial backing in April 2026. Funding was achieved through equity from Related Digital, investments tied to Blackstone Inc., and a $14 billion bond sale led by Bank of America. Of these bonds, Pimco acquired $10 billion, with the remainder covered by other investors.
The project is set to create substantial job opportunities throughout its development. Currently, approximately 700 Michigan-based construction workers are on-site, and more than 2,500 union jobs are anticipated during the construction period.
Governor Gretchen Whitmer praised the project, highlighting its economic and environmental commitments. "The Barn will bring tens of billions of dollars of investment to Michigan, creating thousands of good-paying local jobs both in construction and tech", Whitmer said. "In Michigan, we’re doing it the right way. We’re ensuring that any company that invests in our communities will pay their own way, fulfill their commitment to good-paying jobs, create energy savings for residents, and be good neighbors by protecting our precious air, land, and water."
In addition to the jobs and infrastructure, the development is set to benefit the local community significantly. OpenAI and Oracle have pledged $10 million to modernize the Saline Recreation Center and $14 million for local fire services and farmland preservation funds.
OpenAI has emphasized its dedication to sustainable and community-focused infrastructure. "Our job at OpenAI is to make intelligence smarter, cheaper, and more abundant so that more people can build, solve problems, and expand what they’re able to do. Delivering that for the many, not the few, will require building new infrastructure", said Sam Altman. "OpenAI is committed to doing it the right way: paying our own way on energy, protecting water supplies, and building in partnership with the communities that host us."
The project is being developed under a Memorandum of Understanding with North America’s Building Trades Unions (NABTU). Construction is led by Walbridge, a Michigan-based company with over a century of experience in the region. "Walbridge has been building in Michigan for more than a century, and we’re proud to continue that legacy here in Washtenaw County", said Mike Haller, CEO of Walbridge. "This project reflects what we stand for – creating good union jobs, expanding apprenticeship opportunities for Michigan workers, and strengthening the next generation of skilled trades. We’re excited to be part of the team delivering the advanced infrastructure that will power the next generation of AI and innovation."
The Saline Township Stargate campus represents OpenAI and Oracle’s latest large-scale data center initiative, following their existing Stargate campus in Abilene, Texas. Earlier this year, they announced that plans to expand the Abilene site had been shelved. Instead, focus has shifted to this new Michigan facility, which aims to meet the growing demands of advanced AI technologies while ensuring responsible energy use.
At the start of 2026, OpenAI publicly committed to paying for its energy use to prevent the local electricity grid from experiencing price increases due to data center operations. This aligns with the project's overarching goal of benefiting the community while supporting groundbreaking technological advancements.
As construction continues, Saline Township is poised to become a significant hub for AI innovation, job creation, and sustainable development.
