OpenAI Targets $600B Compute Spend by 2030 as AI Infrastructure Race Heats Up

OpenAI has dramatically scaled back its infrastructure ambitions, telling investors it now targets roughly $600 billion in total compute spend by 2030, according to sources familiar with recent investor presentations. This represents a significant reduction from CEO Sam Altman's previous $1.4 trillion infrastructure commitment touted just months ago, highlighting the immense financial pressures facing even the most well-funded AI companies.

The Infrastructure Reality Check

The revised target comes as OpenAI faces mounting pressure to demonstrate a path to profitability while continuing to invest heavily in the computational resources needed to train and run increasingly sophisticated AI models. The company's revenue projections have also been adjusted upward, with sources indicating OpenAI now projects its revenue will exceed $280 billion by 2030, up from previous estimates.

This recalibration reflects broader challenges in the AI industry as companies grapple with the enormous costs of scaling infrastructure. The original $1.4 trillion figure, while ambitious, may have been unrealistic given current market conditions and the sheer scale of investment required.

Market Context and Competition

The infrastructure spending announcement comes amid a flurry of AI-related developments across the tech industry. Amazon recently revealed that its AI tools have caused at least two AWS outages, including a 13-hour disruption in December, raising questions about the reliability of AI-powered cloud services. Meanwhile, Anthropic launched Claude Code Security, a new feature that scans codebases for vulnerabilities, causing cybersecurity stocks to tumble as investors reassess the threat of AI to traditional security solutions.

OpenAI itself is expanding beyond software into hardware, with reports indicating the company has more than 200 people working on a family of AI-powered devices. These include a smart speaker with a camera priced between $200 and $300, with potential smart glasses and a smart lamp also in development.

Financial Implications

The scaled-back infrastructure target suggests OpenAI is taking a more measured approach to growth, potentially in response to investor concerns about the company's burn rate and path to profitability. With annualized revenue reportedly growing to $20 billion+ in 2025, OpenAI faces increasing pressure to demonstrate that its massive infrastructure investments will yield commensurate returns.

This shift in strategy may also reflect broader market conditions, as the AI industry matures and investors become more discerning about which companies can realistically achieve their ambitious growth targets. The reduction from $1.4 trillion to $600 billion represents a significant course correction that could influence how other AI companies approach their own infrastructure planning.

The coming years will be critical for OpenAI as it attempts to balance its technological ambitions with the financial realities of operating at the cutting edge of AI development. Whether the $600 billion target proves more achievable than the original $1.4 trillion commitment remains to be seen, but the adjustment signals a more pragmatic approach to the company's long-term growth strategy.