Updated
Updated · Yahoo Finance · Sep 24
Oracle Invokes Force Majeure on 2.45-Gigawatt New Mexico Data Center as Shares Fall 4%
Updated
Updated · Yahoo Finance · Sep 24

Oracle Invokes Force Majeure on 2.45-Gigawatt New Mexico Data Center as Shares Fall 4%

3 articles · Updated · Yahoo Finance · Sep 24

Summary

  • Oracle told a Blue Owl Capital unit it is invoking a force majeure clause on Project Jupiter, seeking to delay payment obligations if the New Mexico data center slips beyond its planned 2028 opening.
  • Regulatory setbacks and local opposition drove the move, with the 2.45-gigawatt campus already hit by the denial of a key permit amid concerns over power demand and community impact.
  • Oracle said it is not trying to exit the project and remains the planned primary tenant, with a spokesperson saying Jupiter is still on schedule and the company is committed to New Mexico.
  • Shares reflected the pressure: Oracle fell 4% on Thursday, while Blue Owl dropped more than 1%, underscoring investor concern over one of the flagship sites in Oracle, OpenAI and SoftBank's AI infrastructure push.

Insights

Will Oracle's $18 billion debt gamble on Project Jupiter trigger a massive financial crisis if regulatory delays persist?
Are tech giants quietly using legal loopholes to escape the financial fallout of their stalled multi-billion dollar AI mega-projects?
Can fuel-cell microgrids truly save hyperscale AI infrastructure from suffocating under failing power grids and strict environmental regulations?