Michigan Chosen to Build Multi-Billion-Dollar OpenAI Stargate Data Center Facility

KEY POINTS

• Michigan will build a multi-billion-dollar data center facility for OpenAI’s Stargate project, featuring three 550,000-square-foot single-story buildings on 250 acres of land.

• The project will feature the construction of new AI infrastructure with energy-efficient systems and a closed-loop water system, minimizing environmental impact and avoiding Great Lakes water usage.

• Located near two universities, the facility will help create pathways for students to enter high-tech careers and enhance Michigan’s role in AI and advanced computing.

Michigan will build a multi-billion-dollar data center facility for OpenAI’s Stargate project, Gov. Gretchen Whitmer announced Thursday, calling it the largest investment in the state’s history.

The facility, developed by OpenAI, Oracle, and Related Digital, is expected to create 2,500 construction jobs and more than 450 permanent, high-skill positions in Saline Township. An additional 1,500 jobs are projected to be created across Washtenaw County to support the project. 

The project, anticipated to start construction in early 2026, is part of OpenAI and Oracle’s broader partnership to expand Stargate capacity by an additional 4.5 gigawatts.

Project Overview  

The more than one-gigawatt Stargate data center facility will be among “the most advanced AI infrastructure projects in the U.S.,” according to the Governor’s Office.

Dubbed “The Barn” for the historic red barn preserved at its entrance, the project will feature three 550,000-square-foot single-story buildings on 250 acres of land.

• It will prioritize sustainability and efficient resource use, operating without requiring additional power generation, according to officials.  

• DTE Energy will supply 100% of the power using existing resources, supported by a new battery storage investment that will be financed entirely by the project.

• Officials emphasized that this approach would ensure no impact on current customers’ energy supply or rates, while contributing to the fixed costs of maintaining and improving the grid.  

• The facility will also use a closed-loop water system to avoid drawing from the Great Lakes and preserve over 700 acres of open space for farmland, wetlands, and forests.

A traffic study by the Michigan Department of Transportation rated the project an ‘A’ for minimal local impact.  Related Digital will invest $14 million in community initiatives, including support for local fire departments, a community fund, and farmland preservation.  

Walbridge, the Detroit-based construction firm, will serve as the general contractor for the project.

Project Celebrated for Jobs and Tech

While full project details, including the total investment amount and timeline, have not been disclosed, officials emphasize the project’s impact on Michigan’s economy and technology workforce.  

“This transformational Stargate OpenAI facility, built by Oracle and Related Digital, will create thousands of good-paying jobs while helping us lead the future of advanced manufacturing and technology,” Whitmer said in a statement.  

“It’s proof that Michigan continues to be a hub for innovation, workforce excellence, and sustainable growth.”  

Located near the University of Michigan and Eastern Michigan University, the facility is expected to strengthen the state’s technology workforce by creating direct pathways for students into high-tech careers.  

“This is about more than jobs,” Whitmer said. “It’s about securing Michigan’s place at the forefront of AI, sustainability, and economic innovation for years to come.”  

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