Oracle (ORCL) stock jumped as much as 6% after a report said the company is poised to be part of a $500 billion investment in AI infrastructure that will be announced by President Trump on Tuesday.
CBS News reported Tuesday Trump will announce new private sector investment to build artificial intelligence infrastructure in the US, with Oracle, creator of OpenAI's ChatGPT, and Japanese conglomerate SoftBank (9984.T) among those committing to the joint venture.
The joint venture, called Stargate, is expected to begin with a data center project in Texas, CBS reported, and company executives are expected to commit to an initial investment of $100 billion at a White House appearance on Tuesday. Other companies are expected to join the initiative and bring investment in the program up to $500 billion in the coming years.
SoftBank CEO Masayoshi Son, OpenAI chief Sam Altman, and Oracle CEO Larry Ellison are all expected to attend Tuesday's event.
On Monday, Trump signed a wave of executive orderswhich included the repeal of Biden's term executive order and established security guidelines for productive AI. The order had required major language models to share the results of security tests with the US government and tasked federal agencies with assessing potential risks.
Big Tech executives, including Amazon's Jeff Bezos, Meta's Mark Zuckerberg, and Apple's Tim Cook, attended the president's inauguration on Monday as the sector warmed to Trump in the wake of his November election victory .
Another day one actions by the president included starting a national energy crisisas well as a heavy focus on immigration. More action is expected later this week, including more clarity on Trump's highly anticipated tariff plans.
Alexandra Canal is a Senior Reporter at Yahoo Finance. Follow her on X @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.
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