Cloud Infrastructure

OpenAI & Oracle Break Ground on Union-Built Michigan Campus

OpenAI Stargate Michigan
Dillip Chowdary
Dillip Chowdary
Tech Entrepreneur & Innovator · April 27, 2026 · 9 min read

OpenAI, in partnership with Oracle, has officially broken ground on a multibillion-dollar supercomputing campus in Saline Township, Michigan. Codenamed "The Barn," this facility marks a significant pivot in Project Stargate, becoming the first hyperscale AI site in the U.S. to be constructed using 100% union labor.

Infrastructure: 500MW of "Clean" Compute

The Michigan campus is designed to pull up to 500 megawatts of power, primarily sourced from regional small modular reactors (SMRs) currently under development. Unlike standard data centers, "The Barn" utilizes direct-to-chip liquid cooling for 100% of its rack capacity, anticipating the extreme thermal demands of Nvidia Rubin R100 photonics-enabled clusters.

A First for Hyperscale: 100% Union Labor

The agreement with the Building Trades of Michigan ensures that all 4,000 construction jobs will be union-led. Analysts suggest this move is a strategic play by OpenAI to gain favorable federal regulatory treatment under the AI Sovereignty Act, positioning the company as a creator of high-quality domestic manufacturing and infrastructure jobs.

The Silicon Mitten

By choosing Michigan over traditional tech hubs like Northern Virginia, OpenAI is leveraging the state's existing heavy industrial infrastructure and cooler climate. This adds to the growing "Silicon Mitten" corridor, following Intel's Terafab expansion in the region. Completion of the first phase is expected by late 2027.