Anonymous17 days ago
OpenAI has abandoned plans to expand its flagship Stargate data center in Abilene, Texas, after negotiations with Oracle collapsed over financing and shifting demand forecasts, marking a broader strategic pivot from building to renting computing capacity. The reversal — which has sent Oracle's stock down 56% from its highs and opened the door for Meta to lease the abandoned site — exposes the fault lines beneath the AI industry's trillion-dollar infrastructure buildout at a moment when soaring energy costs from the Iran war are making data center economics even more precarious.