Japan Plans Largest Data Center To Rival OpenAI’s Stargate Project
Japan is preparing to open its third and most significant data centre hub as part of a major effort to improve its artificial intelligence and cloud computing capabilities.
The project is located in Nanto City, Toyama Prefecture, near the Sea of Japan coast. It will have a total power capacity of 3.1 gigawatts, making it one of the most extensive facilities in the world and directly comparable to famous Stargate project.
Details About The Project and Its Timeline
The project is a partnership between the city of Nanto and the developer GigaStream Toyama. The first phase of the Nanto Campus will provide about 400 megawatts of power, roughly the identical as some of Japan’s largest data centres. It is expected to be up and running by the end of 2028.
The whole complex will eventually support 3.1 GW, which is what hyperscale operators like , Microsoft, and Google need to keep up with the tremendous increase in AI-driven computing needs. AI and cloud services are expected to boost Japan’s data centre market to almost triple to more than $32 billion by 2028.
Benefits of a Strategic Location
Nanto’s choice shows that there is a plan to move data centres away from and Osaka, which together host around 85% of the country’s facilities. The place is about 250 kilometres from both main cities, so it’s close yet not too crowded.
securety is paramount: The Japan Meteorological Agency says that Toyama prefecture has one of the lowest rates of significant earthquakes. Utilities such as Hokuriku Electric Power and Kansai Electric Power also provide Western with more reliable, affordable electricity.
OpenAI’s Stargate: A Comparison
The Nanto project is being pitched as a competitor to OpenAI’s Stargate, which has an estimated $500 billion investment and aims to reach up to 10 GW of capacity.
Japan’s endeavour is mostly about diversifying its economy and providing immediate support for hyperscale, but it also shows how Asia is racing to become the leader in .
GigaStream Toyama, which real estate expert Daniel Cox runs, prepares land and infrastructure for operators. This is similar to how U.S. companies Lancium and Tract work. The corporation wants to showcase the campus at the next Pacific Telecommunications Council conference in Honolulu.
Wider Effects
This change aligns with the government’s goal of attracting 120 trillion yen in foreign direct investment by 2030, with data centres among the areas that would assist achieve it.
Officials from Nanto City and GigaStream Toyama have not said anything ahead of the official announcement, but they have made it clear that more information will be available soon.
Japan’s move is a strategic attempt to get a largeger piece of the AI boom while reducing the risks mostly found in large cities. This is because global tech companies are fighting for computer resources.
