Oracle stock jumps 6% after report says Trump to announce new $500 billion AI investment

Oracle (ORCL:) shares rose as much as 6% after a report said the company is preparing to invest $500 billion in artificial intelligence infrastructure to be announced by President Trump on Tuesday.

It was reported by CBS News on Tuesday Trump will announce new private-sector investments to build US AI infrastructure, with Oracle, ChatGPT creator OpenAI and Japanese conglomerate SoftBank.9984.T) in the liabilities associated with the joint venture.

The joint venture, called Stargate, is expected to start with a data center project in Texas, CBS reported, and company executives are expected to make an initial investment of $100 billion during a White House speech on Tuesday.Other companies are expected to join to the enterprise and will invest up to $500 billion in the program in the coming years.

SoftBank CEO Masayoshi Son, OpenAI chief Sam Altman and Oracle CEO Larry Ellison are expected to attend Tuesday’s event.

Trump on Monday signed a wave of executive orderswhich included the repeal of the Biden era executive order which set safety guidelines for generative AI.The order required large language models to report the results of safety tests to the US government and tasked federal agencies with assessing potential risks.

Big Tech executives, including Amazon’s Jeff Bezos, Meta’s Mark Zuckerberg and Apple’s Tim Cook, attended the president’s inauguration on Monday as the industry rallied behind Trump following his November election win.

The president’s actions the other day included calling for a national energy emergencyas well as a greater focus on immigration.More action is expected later this week, including more clarity on Trump highly anticipated tariff plans.

Alexandra Canal is a senior reporter at Yahoo Finance Follow him with an X @allie_canal:, LinkedIn, and email her at alexandra.canal@yahoofinance.com.

Click here for the latest technology news that will affect the stock market

Read the latest financial and business news from Yahoo Finance