Oracle has issued a force majeure notice tied to Project Jupiter, a massive New Mexico AI data-center campus, after potential delays emerged in securing power for the site, Reuters reported.
The 1,400-acre campus is part of Oracle’s agreement with OpenAI to provide AI computing capacity. The project has secured roughly $18 billion in loans, while Blue Owl has about $3 billion of equity invested, according to Reuters reporting.
The notice does not mean Oracle is abandoning the project. Oracle says Project Jupiter remains on its planned schedule, while Blue Owl says the notice does not change the parties’ financial commitments. Reuters reported that a person familiar with the deal said the program faces a one-year delay.
The bigger issue is electricity. Project Jupiter has faced infrastructure setbacks including power-supply challenges and delays involving planned natural-gas infrastructure. That makes the development another real-world example of the constraint BitcoinVersus.tech recently examined in the projected 33 GW U.S. data-center power shortfall.
As AI campuses move into gigawatt territory, access to generation, transmission, substations, fuel and cooling infrastructure can determine deployment schedules just as much as access to GPUs.
Source: Reuters.
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