Trump's Stargate AI Project in Huge Trouble As $18 Billion Data Center Shrivels Toward Oblivion

Live updates

1. 56m ago

   Oracle's $18 Billion Stargate AI Data Center Project Hits Force Majeure

   Oracle's massive $18 billion Stargate AI data center project in New Mexico is facing significant delays and financial uncertainty. The company has issued a 'force majeure' notice to shield itself from potential costs and delays. This development has raised concerns about the project's viability and Oracle's ability to deliver on its promised computing capacity.

   Why it matters

   The Stargate AI project is a key part of Donald Trump's AI megaproject, aiming to create a massive AI data center campus. Oracle has secured about $18 billion in loans for the project, which could face a roughly one-year delay. The project's challenges have implications for the broader AI infrastructure and financing landscape.

   What is confirmed

   • Oracle's Project Jupiter data center in New Mexico is facing delays and financial uncertainty.
   • The project has secured about $18 billion in loans.
   • Oracle's 'force majeure' notice aims to shield the company from potential costs and delays.
   • The project's delays have raised concerns about Oracle's ability to deliver on its promised computing capacity.

   Still unconfirmed

   • The project could face a roughly one-year delay.

   What to watch next

   • Oracle's stock performance in response to the 'force majeure' notice
   • Updates on project financing and construction timeline
   • Regulatory decisions on permits and environmental concerns
   Sources used for this update (23)

   1. Bloomberg — Oracle Cites ‘Force Majeure’ to Shield Itself on Controversial Data Center
   2. CNBC — Oracle shares drop on report it sent 'force majeure' notice about data center project
   3. Reuters — Oracle cites ‘force majeure’ to shield itself on data center, Bloomberg News reports
   4. Reuters — Oracle, Blue Owl project delay sends ripples through AI financing, sources say
   5. WSJ — Cracks in Oracle’s AI Data-Center Build-Out Appear in Massive New Mexico Project
   6. Axios — The AI borrowing binge is back in the spotlight
   7. Semafor — View / AI’s financial Jenga towers start to wobble
   8. Yahoo Finance — Oracle’s Collapse–$200 Billion In Data Center Shut Downs
   9. Bloomberg.com — Oracle Notice to Weigh on Data Center Debt, Morgan Stanley Says
   10. Futurism — Trump's Stargate AI Project in Huge Trouble As $18 Billion Data Center Shrivels Toward Oblivion
   11. CNBC — Oracle sends 'force majeure' notice about data center project — stock drops 3%
   12. www.tekedia.com — Oracle’s Stargate Data Center Faces Delay Risk as Force Majeure Notice Raises AI Infrastructure Concerns
   confidence 85%