https://www.tomshardware.com/tech-industry/artificial-intelligence/openais-massive-stargate-data-center-canceled-as-firm-cant-reach-terms-with-oracle-operator-struggles-with-reliability-issues-meta-said-to-be-interested-in-snatching-excess-capacity"Oracle and OpenAI have cancelled plans to expand their flagship AI data center campus in Abilene, Texas, after lengthy negotiations broke down over financing arrangements and OpenAI's changing capacity projections, reports Bloomberg. The Abilene campus is part of the Stargate project announced at the White House last year, and yet, it seems like it faces slowdowns. Just like other Oracle's data centers meant for OpenAI. Yet, Meta could take the yet-to-be-expanded.
Since mid-2025, Oracle, Crusoe, and OpenAI have discussed increasing data center power capacity from about 1.2 GW to roughly 2.0 GW, amid reluctance from locals. Negotiations got complicated due to difficult financing terms and OpenAI's shifting capacity forecasts, which led to their collapse, according to Bloomberg. Nonetheless, development of the 1,000-acre campus remains underway, and multiple facilities are already in service, though preliminary agreements to rent a substantial expansion were ultimately dropped. Could it be a signal that the Stargate project fails while the whole AI industry is on the rise?"
