Oracle Downplays $165B New Mexico AI Data Centre Concerns

✍️ Times of India 🗓 30 Oct 2026, 01:08 PM 👁 4

Oracle claims its massive $165 billion Project Jupiter in New Mexico is routine, despite investor anxiety over power approvals and a stressed $18 billion loan.

Oracle has stated that it is not concerned about the progress of Project Jupiter, a $165 billion AI data centre located in New Mexico, even as investors and lenders express growing anxiety. The company’s cloud chief, Mahesh Thiagarajan, described the project as one of 30 to 40 similar initiatives currently in development each quarter, suggesting it is part of a broader, routine expansion strategy.

Despite the company's confident stance, the Stargate site, which is associated with OpenAI, faces several operational hurdles. These include pending power approvals and a force majeure notice issued to Blue Owl. Additionally, the project involves a stressed $18 billion loan, which has added to the financial scrutiny surrounding the venture.

The divergence between Oracle's public reassurance and the market's nervousness highlights the significant risks involved in such large-scale infrastructure projects. While the company views this as a standard part of its quarterly pipeline, the specific challenges regarding power and financing have kept stakeholders on edge.