Market Chatter: OpenAI's Stargate Data Center Faces Rising Costs, Power Challenges

MT Newswires Live01:07

A data center developed by Crusoe in Texas that is part of Microsoft-backed (MSFT) OpenAI's Stargate computing effort is facing mounting costs and power-related challenges, The Information reported Monday, citing two people with direct knowledge of the matter as well as engineers and power grid experts.

Crusoe has had to pause operations at the site periodically due to issues including cooling mishaps, turbine glitches, and Texas grid rules designed to manage power swings, as well as risks to money, personnel and equipment, the report said.

Crusoe and OpenAI didn't immediately reply to a request for comment from MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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