Microsoft to Rent Texas Data Center Dropped by Oracle, OpenAI

Stargate — a collaboration between OpenAI, Oracle and SoftBank — is building AI data centers and related infrastructure across the U.S., with the Abilene, Texas site pictured on Sept. 24, 2025. The project has promotional support from President Donald Trump, signaling political backing for domestic AI infrastructure development. This is a sector-level infrastructure development that could increase regional cloud/compute capacity and drive local economic activity but is unlikely to move markets materially in the near term.

Analysis

Stargate — a collaboration between OpenAI, Oracle and SoftBank — is building AI data centers and related infrastructure across the U.S., with the Abilene, Texas site pictured on Sept. 24, 2025. The project has promotional support from President Donald Trump, signaling political backing for domestic AI infrastructure development. This is a sector-level infrastructure development that could increase regional cloud/compute capacity and drive local economic activity but is unlikely to move markets materially in the near term.