Overview

• Bloomberg, citing unnamed sources, reports Oracle will run a new West Texas data center on on-site gas generators at an annual operating cost exceeding $1 billion, and the company has not confirmed the plan.
• The facility is located in Shackelford County near Abilene, is being developed by Vantage Data Centers, and is described as a roughly 1.4-gigawatt campus that would rank among the largest data centers globally.
• Using generators is presented as a way to bring AI capacity online sooner rather than waiting years for a utility connection and new transmission infrastructure.
• Oracle’s broader AI push includes a reported 4.5-gigawatt cloud pact tied to OpenAI’s Stargate project and large Nvidia chip clusters for accelerated computing.
• Observers highlight potential air-pollution risks from gas turbines and note the company’s rapid buildout coincided with its first negative annual cash flow since 1990.