SoftBank has taken a major step to accelerate America’s artificial intelligence race with a $3 billion investment that will convert a dormant electric vehicle manufacturing plant in Lordstown, Ohio, into a production hub for state-of-the-art modular data center units serving OpenAI.
This groundbreaking move underscores the Japanese conglomerate’s deepening commitment to AI and high-tech infrastructure, as well as its evolving relationship with Sam Altman’s OpenAI and the broader Stargate project.
The Lordstown project is pivotal for both local manufacturing and the national AI infrastructure vision.
By repurposing the site for rapid production of portable, pre-assembled data center equipment, SoftBank aims to drastically speed up the expansion of AI compute capacity across multiple US locations, particularly supporting OpenAI’s aggressive growth targets.
How Will SoftBank’s Investment Transform Lordstown?
SoftBank’s plan will see up to $3 billion invested to convert the shuttered Lordstown plant, previously dedicated to electric vehicle production, into a high-tech site focused on modular data center equipment.
This move is part of a wider shift in the region’s economic base and signals renewed industrial hope for workers and suppliers hit by the area’s EV sector slowdown.
Production of modular units is scheduled to begin early next year. The facility will also operate a demonstration center to showcase new manufacturing processes tailored for the needs of massive AI data centers, making Lordstown a flagship for the next chapter in American tech manufacturing.
Did you know?
The Lordstown facility was previously known for producing electric vehicles before its transformation into a data center equipment hub.
What Is the Stargate Project and Why Does It Matter?
The Stargate project, announced jointly by OpenAI, SoftBank, Oracle, and the US government earlier in 2025, is an ambitious $500 billion initiative to build sprawling advanced AI data center infrastructure across the United States.
Lordstown is only one of five planned factory locations, but it plays a unique role as the first to focus on modular, pre-built equipment that can be shipped and installed quickly.
OpenAI CEO Sam Altman has described Stargate as a foundational effort for the AI era, envisioning computing capacity of up to 30 gigawatts nationwide at a cost that far outpaces today’s data center expansions.
The Lordstown facility will supply modular units for flagship OpenAI deployments, including major sites in Texas and other states, over the next three years.
How Does Modular Construction Speed AI Expansion?
By shifting to factory-produced modular data centers, SoftBank and OpenAI believe they can cut construction times from over a year to as little as 7 to 8 months per site.
These prefabricated modules arrive ready for quick assembly and integration, which is vital for meeting surging demand as AI adoption outpaces traditional buildouts.
The Lordstown operation is designed with flexibility in mind, allowing it to scale production based on OpenAI’s needs and potentially serve other AI-driven clients.
Emphasizing modularity not only saves time but also supports smarter resource allocation, crucial as the AI sector faces unpredictable surges in compute demand.
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Are OpenAI’s Ambitious Capacity Targets Realistic?
While OpenAI’s aim to reach 30 gigawatts of computing capacity at an estimated $1.4 trillion investment is unprecedented, analysts caution that much depends on new construction methods, regulatory approvals, and market adoption of AI services.
The $3 billion commitment from SoftBank marks a major confidence boost yet highlights the scale of resource mobilization needed nationwide.
SoftBank’s CEO, Masayoshi Son, ’s move to liquidate holdings, including a $5.8 billion stake in Nvidia, illustrates just how much the conglomerate is betting on the future of AI hardware and infrastructure.
If Stargate delivers as planned, it will push technical and financial boundaries in global data infrastructure development.
What Impact Could This Have on America’s AI Future?
The conversion of Lordstown and four other sites for Stargate underscores a new direction for US industrial policy and job creation. The project promises over 100,000 new jobs, advanced digital manufacturing roles, and a concrete path to sustaining American leadership in AI hardware deployment.
By combining local manufacturing resurgence with strategic national interests, the Ohio investment could act as a template for other regions seeking renewal through high-tech infrastructure.
Observers expect rivals in the cloud sector, from Meta to Google, to watch the outcome closely and may follow SoftBank’s lead if modular approaches prove successful. SoftBank’s Lordstown investment signals a pivotal moment for AI, industry, and policy in America.
As doors reopen at the historic plant, the race to build and deploy new AI infrastructure enters an era defined not by who has the fastest servers, but by who can build and scale them the smartest.
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