Microsoft takes over a Texas AI data center expansion after OpenAI backs away :: WRAL.com
Microsoft takes over a Texas AI data center expansion after OpenAI backs away :: WRAL.com
Publish Date: 2026-03-27 14:22:00
Source Domain: www.wral.com
Here are six key points from the article:
– Microsoft is collaborating with data center developer Crusoe to construct two additional “AI factory” buildings and an on-site power plant in Abilene, Texas. These facilities will be situated next to an already-existing computation campus being built for OpenAI and Oracle.
– The Stargate project, which is OpenAI’s flagship AI data center campus, was intended to be one of the largest of its kind in the United States and was announced by former President Donald Trump as a major AI investment.
– Despite their growing separation in AI development, Microsoft previously held an exclusive cloud computing provision agreement with OpenAI and still retains a stake in the company.
– The original plan for the project in Texas was to serve the cryptocurrency mining market, but was reoriented towards AI after the rise in popularity of technologies like ChatGPT.
– The new power plant generated by Crusoe, attached to the Microsoft facilities, will produce 900 megawatts, exceeding the existing 350-megawatt plant connected to the OpenAI and Oracle project.
– The construction of these AI data centers has raised concerns about the environmental impact, as most of the power used is currently generated from fossil fuels, although there are plans to transition to more sustainable sources in the future.