Michigan Makes Record-Breaking Investment to Bring Thousands of Jobs to the State
Michigan has secured a multi-billion-dollar project, officials announced, marking the largest one-time investment in the state’s history. The development will be located in Washtenaw County’s Saline Township and is expected to create more than 4,500 jobs across construction and operations. Governor Gretchen Whitmer described it as a landmark initiative that will strengthen Michigan’s economy and put the state at the forefront of next-generation technology.
A “Stargate” Data Center With 1 Gigawatt Capacity
The OpenAI Stargate project’s new AI data center, dubbed “The Barn” for its preserved historic red barn at the entrance, will include three single-story buildings of 550,000 square feet each. Together, they will host advanced AI infrastructure with a 1 gigawatt computing capacity, officials said. This scale of computing power is designed to meet the surging demand for AI processing, placing Michigan among the leading states in high-performance technology deployment.
Michigan Wins Historic Private Investment
Governor Gretchen Whitmer described the project as the largest single investment in Michigan’s history. Private investment in AI in the U.S. hit $109.1 billion in 2024, according to Stanford researchers, nearly 12 times higher than China’s $9.3 billion. Projects like this one are expected to create high-paying jobs, strengthen the local economy, and place Michigan at the center of the rapidly growing AI sector, Whitmer noted.
Thousands of Jobs Across the Region
“We will continue working together at the state level to win more projects so we can create even more good-paying, local jobs for Michiganders and grow our economy,” Whitmer said. The project is expected to create more than 2,500 union construction jobs, over 450 on-site roles, and 1,500 additional positions across Washtenaw County. The governor emphasized that the initiative builds on Michigan’s success in attracting industries including clean energy, semiconductors, and automotive technology. Local leaders and companies involved highlighted the potential for sustained economic impact throughout the region.
Balancing Innovation and Sustainability
Officials acknowledged concerns about energy and environmental impact, but the facility will use a closed-loop water system that does not draw from the Great Lakes, Governor Whitmer said. The project will also preserve more than 700 acres of open space, including farmland, wetlands, and forest. Authorities note that the development is designed to address environmental considerations while supporting the state’s growing AI infrastructure.
Collaboration Between Tech Leaders
The data center will be developed jointly by OpenAI, Oracle, and Related Digital. Peter Hoeschele, OpenAI’s vice president, said the project ensures Michigan plays a key role in building the AI infrastructure for the next generation of innovation. Oracle’s Mahesh Thiagarajan emphasized Michigan’s strong legacy in technology and industry, while Related Digital CEO Jeff Blau highlighted the project’s strategic importance for national competitiveness.
Advanced Infrastructure and Design
The facility will feature advanced cooling and power systems designed to handle intense computing workloads, company representatives stated. Whitmer described the project as “one of the most advanced” in its use of land, water, and power. The design integrates high-performance technology, officials said. Developers emphasized the project’s focus on efficient operations as part of its approach to large-scale AI infrastructure.
Construction Set to Begin in 2026
Construction on the 250-acre site in Saline Township is scheduled to begin early next year, pending approval by the Michigan Public Service Commission. While completion dates have not been announced, state and company officials stressed the scale and urgency of the project, which aims to meet growing global demand for AI processing capability.
$14 Million Committed to Local Initiatives
Related Digital plans to invest an additional $14 million in local initiatives requested by the Saline Township Board, officials said. The funding will support a farmland preservation trust and other community priorities identified by local leaders. The investment is separate from the data center construction budget and was arranged in coordination with the township board as part of the project’s development agreement, authorities said.
A Model for Future AI Development
The AI data center is expected to position Michigan as a central hub for advanced technology and innovation, according to state officials. The project could attract additional investment, research initiatives, and talent to the region, supporting long-term economic growth. State leaders emphasized that the combination of infrastructure development, job creation, and environmental considerations demonstrates Michigan’s approach to competing in the evolving digital economy.