Adding AI computing power layout Microsoft Corporation (MSFT.US) takes over Oracle Corporation (ORCL.US) and OpenAI abandons the data center project.

Against the backdrop of the continuous explosion of demand for artificial intelligence infrastructure, Microsoft Corporation (MSFT.US) is accelerating the layout of data center resources. According to sources familiar with the matter, Microsoft Corporation has agreed to lease a data center project in Texas, USA, which was originally intended for use by Oracle Corporation (ORCL.US) and OpenAI. The project is located in Abilene, Texas, with a capacity of about 700 megawatts, adjacent to Oracle Corporation and OpenAI's flagship "Stargate" campus. Sources said that after Oracle Corporation and OpenAI withdrew from negotiations due to financing issues and changing demands, Microsoft Corporation reached an agreement with the developer Crusoe to take over the project. In recent years, Microsoft Corporation has been ramping up data center leasing to meet the demands of its cloud computing customers and the expansion of its own artificial intelligence business. In the latest financial quarter, the company has signed commitments to lease around $500 billion in server farms, showing a significant increase in its investment in AI infrastructure. This trend also marks a strategic shift, as about a year ago, Microsoft Corporation had temporarily suspended some data center projects. Previously, negotiations between Oracle Corporation and OpenAI regarding the Abilene project had been slow due to financing arrangements and the frequent adjustments in OpenAI's demands, ultimately failing to reach an agreement. OpenAI stated at the time that they would turn to other data center resources to support their computing power needs. It is worth noting that Meta (META.US) had also been in discussions to lease the project, making it one of the core assets contested by AI giants. However, Microsoft Corporation, Crusoe, and Meta all declined to comment on any related transactions. The Abilene data center project is seen as one of the most iconic infrastructures of the AI era. With Microsoft Corporation joining, the campus will now bring together two major tech giants, Microsoft Corporation and Oracle Corporation, forming a direct competitive landscape. Currently, Oracle Corporation is accelerating the deployment of server equipment, which will be used to support OpenAI's model training and product operations.