SoftBank is proceeding with plans to construct an extensive data center in Ohio, utilizing federal land acquired through a leasing agreement.
This development follows SoftBank's $50 million contribution to the Trump Presidential Library in January, a disclosure made in response to a June inquiry from Senator Elizabeth Warren (D-MA), Senator Richard Blumenthal (D-CT), and Representative Melanie Stansbury (D-NM). The lawmakers' letter explicitly raised questions regarding potential bribery given the proximity of the donation to the subsequent federal land lease announcement by the Japanese conglomerate.
Senator Warren expressed her skepticism in a statement to The Verge, questioning the timing: "Are we expected to believe it’s a coincidence that two months after Softbank donated $50 million to the Trump library, his administration announced a massive lease deal for Softbank’s data center?" She further commented, "Again and again, it seems like Trump is putting handshake deals with CEOs over what’s best for Americans.”
In March, SoftBank's subsidiary, SB Energy, unveiled a public-private partnership aimed at establishing what it describes as "the world’s largest" AI data center at the U.S. Department of Energy’s facility in Portsmouth, Ohio. This ambitious project also entails SB Energy constructing a substantial gas-fired power plant in the vicinity, projected to have a capacity of at least 9.2 gigawatts.
The lawmakers' letter highlighted a distinction in SoftBank's philanthropic history, noting that previous contributions to the presidential libraries of Ronald Reagan and George W. Bush occurred "after those presidents had left office and after the relevant library foundations and institutions had been established." In contrast, the donation for Trump’s presidential library was made during his term in office and "before any presidential library has been constructed.”
Further complicating matters, the Donald J. Trump Presidential Library Fund, an entity previously designated for collecting donations, was dissolved by the state of Florida last September due to its failure to submit an annual report. SoftBank, however, clarified in its response that its $50 million contribution was directed to the "Donald J. Trump Presidential Library Foundation, Inc.”
According to reports from Citizens for Ethics, Eric Trump, son of Donald Trump, serves as a trustee for the nonprofit organization. SoftBank's letter reiterated its understanding of the donation's purpose, stating, "As with its prior contributions to Presidential libraries, SoftBank understands that this donation will be used to support the construction and operation of the Donald J. Trump Presidential Library.”
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