OpenAI Is Walking Away From Expanding Its Stargate Data Center With Oracle

Source: Slashdot

OpenAI’s Shift Away from Oracle Expansion

OpenAI is reportedly backing away from expanding its AI data‑center partnership with Oracle because newer generations of Nvidia GPUs may arrive before the facility is operational. According to a source familiar with the matter, OpenAI no longer plans to expand its partnership with Oracle in Abilene, Texas—the home of the Stargate data center—because it wants clusters equipped with newer Nvidia graphics‑processing units.

The current Abilene site is expected to use Nvidia’s Blackwell processors, and the power isn’t projected to come online for about a year. By then, OpenAI hopes to have expanded access to Nvidia’s next‑generation chips in larger clusters elsewhere.

“Oracle secured the site, ordered the hardware, and spent billions of dollars on construction and staff, with the expectation of going bigger.” – CNBC

In a post on X, Oracle called the reports “false and incorrect,” stating that existing projects are on track but not addressing the expansion plans.