Oracle’s Project Jupiter was pitched as a flagship of the Stargate AI infrastructure push announced with OpenAI, SoftBank and President Donald Trump. The New Mexico campus is designed for 2.45 gigawatts of capacity — an enormous bet on demand for AI computing and on the ability to build the power supply to match it.¹

That bet has run into a stubborn sequence of obstacles. Residents and environmental groups have opposed the project, while regulators repeatedly denied permits for an Energy Transfer gas pipeline needed to supply Bloom Energy fuel cells. The pipeline has slipped by nearly six months, to Feb. 1, 2027, and a separate air-quality permit remains pending.¹

Against that backdrop, Oracle sent a force majeure notice to the Blue Owl Capital-owned developer of the campus. The notice preserves Oracle’s ability to delay payments if the facility misses its planned 2028 opening; it does not mean the company is abandoning the lease. Oracle insists that “Project Jupiter remains on our planned schedule” and says it is “fully committed to New Mexico.”² Blue Owl likewise said the notice “does not change the financial commitments to this multi-year project.”²

But markets read the legal maneuver less calmly. Oracle shares fell about 5% as concerns resurfaced over the roughly $18 billion of debt financing tied to the site.² Oracle bonds maturing in 2055 traded at 77 cents on the dollar, while credit-default-swap costs rose as investors reassessed the risks around the company’s AI spending spree.³

Analysts differ mainly on what the notice signals. Evercore called it “a pretty sensible move” to align costs and revenue if construction slips, while RBC’s Rishi Jaluria argued it shows Oracle’s execution-risk assessment “has shifted enough to warrant legal cover.”⁴ The dispute is not over whether Project Jupiter matters. It is over whether Oracle can turn an ambitious AI backlog into revenue before permits, power and financing turn its schedule into a liability.