Trump's "Stargate" May Be More Useful Than You Think

Donald Trump's brand new program sponsoring the development of domestic AI data centers may be a much better opportunity than you may initially think.

The president, in his efforts at developing the long-term growth of the domestic economy, launched "Stargate," an alleged government-funded company which will allocate funding to the construction of AI data centers, including one in Texas later this year, as well as into research/development in artificial intelligence technologies. Some of the greatest beneficiaries of this program may include Nvidia, Broadcom, Microsoft, and others.

In his announcement this week, the president stated that this is the start of "America's Golden Age," which was then exclaimed and affirmed by Masayoshi Son, CEO of Softbank Group Corp and chairman of Arm Holdings. He will be working with Oracle CEO Larry Ellison and OpenAI CEO Samuel Altman in this joint venture with the Trump administration.

The program has been alleged to have comprised of up to $500 billion of funds, but it is unknown what the specific number could be. Either way, it will be a lot of money. It is "the largest AI infrastructure project in history," the 47th president stated in his address to reporters.

This program, as the president clearly stated, will stand as the largest AI investment ever in history, even surpassing those of China, Russia, and other American adversaries at one given moment. This may give an edge to American AI companies over the rest of the world, especially in an environment where foreign competition in the tech industry is becoming more pervasive.

We could expect major progress in AI development in the United States over the next few years to decades. With this funding, many of these previously neglected programs could have the resources they need to expand upon their AI infrastructure, and deliver on new AI systems which could improve people's livelihoods, including in medicine and home convenience. Even Ellison in his speech this week stated that AI could help "cure cancer" if used properly, possibly with Moderna's cancer vaccine concepts helping to raise this concept up.

Today alone, tech stocks rose; Nvidia rose 4.4% to $147.07 per share, a near all-time high, for instance. Oracle, Softbank, and Microsoft (a key holder of OpenAI equity, as OpenAI is a non-profit) all surged alongside it. In the long term, we may see these stocks surge despite being overvalued, which could possibly mean a rating of buy for these stocks. Some of which may include CrowdStrike, Palantir, Lumen, and SoundHound.