OpenAI, Oracle to Build Massive Data Center in Michigan

SALINE TOWNSHIP, Mich., Oct. 30, 2025 /PRNewswire/ — OpenAI, Oracle, and Related Digital announced plans to construct a data center campus in Saline Township, Michigan. The campus will have over 1 gigawatt of capacity as part of their Stargate initiative aimed at enhancing U.S. artificial intelligence infrastructure.

The project, which is expected to begin construction in early 2026, represents a multi-billion dollar investment, though the exact figure remains undisclosed. Experts estimate that 1 gigawatt of computing power can cost around $50 billion, enough to power approximately 750,000 U.S. homes.

Peter Hoeschele, OpenAI’s vice president of industrial compute, emphasized the benefits for Michigan, stating, “This project will help ensure Michigan is a key part of building the AI infrastructure that will power the next generation of American innovation.”

The development of the data center is expected to create over 2,500 union construction jobs and about 1,500 additional jobs in the surrounding area. Mahesh Thiagarajan, Oracle’s executive vice president, noted the significance of Michigan’s role in American innovation. “Historically, Michigan has been at the forefront of innovation and industry in America,” he said.

The data center will be built on a 250-acre site and features a LEED-certified design that utilizes a closed-loop cooling system to minimize water usage. The energy for the project is being supplied entirely by DTE Energy.

Jeff T. Blau, CEO of Related Companies, stated, “This historic, multi-billion-dollar investment will ensure that Michigan plays a leading role in developing the digital infrastructure American companies need.”

The project, referred to as ‘The Barn’ due to a historic barn preserved on the site, will consist of three single-story buildings, each measuring 550,000 square feet. As they move forward, the companies are working to ensure local communities derive economic benefits from the infrastructure project.