A week ago, analyst TD Cowen revealed that Microsoft had canceled leases "totalling a couple hundred MWs," with "at least two private data center operators across multiple US markets." The report also details how Microsoft "pulled back on converting negotiated and signed Statement[s] of Qualifications (SQQs)," which it added
We can read between the lines for ourselves. From OpenAI’s announcement of Stargate in January, the only equity-holder who has built datacenters is Oracle, and the only other technology partner who has built datacenters is Microsoft. They claim that OpenAI will be operationally responsible, but OpenAI doesn’t have a team dedicated to building out and staffing datacenters. In related reporting, Microsoft relaxed its exclusive rights to OpenAI’s infrastructure specifically for Oracle and Stargate. As for the motives, I’ll highlight Ed’s reporting:
The Oracle/Stargate situation was a direct result — according to reporting from The Information — of OpenAI becoming frustrated with Microsoft for not providing it with servers fast enough, including an allotment of 300,000 of NVIDIA’s GB200 chips by the end of 2025.
nod, I get what you mean. probably 70/30 (although I wish it were closer to 50/50) on whether oracle goes for it, but boy how fucking funny would it be if if were the 30 and openai was suddenly scrambling to find a home for their bullshit
haven’t really had the headpsace to read into the stargate mess whatsoever! it is funny to hear that the borderline-ouroboros is still hungry but I’m not sure if it’ll, y’know, Learn From This
We can read between the lines for ourselves. From OpenAI’s announcement of Stargate in January, the only equity-holder who has built datacenters is Oracle, and the only other technology partner who has built datacenters is Microsoft. They claim that OpenAI will be operationally responsible, but OpenAI doesn’t have a team dedicated to building out and staffing datacenters. In related reporting, Microsoft relaxed its exclusive rights to OpenAI’s infrastructure specifically for Oracle and Stargate. As for the motives, I’ll highlight Ed’s reporting:
nod, I get what you mean. probably 70/30 (although I wish it were closer to 50/50) on whether oracle goes for it, but boy how fucking funny would it be if if were the 30 and openai was suddenly scrambling to find a home for their bullshit
haven’t really had the headpsace to read into the stargate mess whatsoever! it is funny to hear that the borderline-ouroboros is still hungry but I’m not sure if it’ll, y’know, Learn From This