⚠ Project Jupiter and the First Force MajeureHigh threat

Oracle (ORCL) — threat to the moat

Oracle's force majeure notice on its New Mexico campus is the first public sign that power and permits, not customers, may decide the pace of its AI build.

On 24 September 2026 Oracle's shares fell more than 3% after it sent a force majeure notice to the developer of its New Mexico data center project1. According to Bloomberg, reported by CNBC, Oracle is looking to delay payment on the campus, known as Project Jupiter, if it fails to come online as expected in 20282. The developer is a unit of Blue Owl Capital3.

Project Jupiter, New MexicoJan 2025Stargateannounced2028expected onlineFeb 2027gas pipelinenow dueby 23Nov 2026air-qualitypermit decision24 Sep 2026force majeurenotice; sharesfall more than 3%CNBC and SiliconANGLE, 24 September 2026
The first delay notice in the build.

The project is part of the broader Stargate AI infrastructure build-out4 and is designed as a facility of more than 2.4 gigawatts powered by Bloom Energy fuel cells5. Its problems are practical. SiliconANGLE, citing Bloomberg, reported that a gas pipeline meant to supply it had been delayed until February next year after failing to receive the necessary permits6, and that a separate air-quality permit decision is due before a Nov. 23 deadline7.

Everyone involved says the project continues. Oracle said "Project Jupiter remains on our planned schedule"8, and Blue Owl said the notice "does not change the financial commitments to this multi-year project"9. Oracle's co-chief executive had told analysts on 10 September that the project would not affect fiscal 2027 guidance10.

The notice matters beyond one campus. CNBC reported concerns over $18 billion of debt tied to the data center, which the Financial Times described as trading at stressed levels11. Oracle's plan depends on dozens of such projects being powered on time, and on landlords and lenders believing the rent will be paid.

The project's other partners felt it too. Shares of Bloom Energy, which is to power the facility with fuel cells, fell 3% on the news, and Bloom said it remained committed to the contract and to the planned timeline12. CNBC noted that the project has faced local opposition ahead of the upcoming midterm elections13. A data center of more than 2.4 gigawatts14 is as much a political and engineering project as a commercial one.

This is the first public sign that the physical build can slip. What would turn it into a crisis is a second notice on another project, or a quarter in which capital spending falls sharply below plan while leases keep starting; Oracle spent $28,499 million in the first quarter of fiscal 202715, and a sudden drop would say construction, not demand, is the constraint.

The number that tests this threat
Reported
Capital expenditures, latest quarter
$28,499M (Q1 FY2027), from $8,502M

The pace of the physical build; a sharp fall while leases keep starting would mean power and permits are holding it back.

Source: Oracle Q1 FY2027 results release ↗
References
  1. ReportedOn 24 September 2026 Oracle's shares fell more than 3% after it sent a force majeure notice to the developer of its New Mexico data center project.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  2. ReportedAccording to Bloomberg, reported by CNBC, Oracle is looking to delay payment on the campus, known as Project Jupiter, if it fails to come online as expected in 2028.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  3. ReportedThe developer is a unit of Blue Owl Capital.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  4. ReportedThe project is part of the broader Stargate AI infrastructure build-out and is designed as a facility of more than 2.4 gigawatts powered by Bloom Energy fuel cells.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  5. ReportedThe project is part of the broader Stargate AI infrastructure build-out and is designed as a facility of more than 2.4 gigawatts powered by Bloom Energy fuel cells.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  6. ReportedSiliconANGLE, citing Bloomberg, reported that a gas pipeline meant to supply it had been delayed until February next year after failing to receive the necessary permits, and that a separate air-quality permit decision is due before a Nov.
    SiliconANGLE, Oracle issues force majeure notice to developer of New Mexico data center over energy delays. — September 2026 · publ. 24 September 2026 · source ↗
  7. Reported23 deadline.
    SiliconANGLE, Oracle issues force majeure notice to developer of New Mexico data center over energy delays. — September 2026 · publ. 24 September 2026 · source ↗
  8. ReportedOracle said "Project Jupiter remains on our planned schedule", and Blue Owl said the notice "does not change the financial commitments to this multi-year project".
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  9. ReportedOracle said "Project Jupiter remains on our planned schedule", and Blue Owl said the notice "does not change the financial commitments to this multi-year project".
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  10. ReportedOracle's co-chief executive had told analysts on 10 September that the project would not affect fiscal 2027 guidance.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  11. ReportedCNBC reported concerns over $18 billion of debt tied to the data center, which the Financial Times described as trading at stressed levels.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  12. ReportedShares of Bloom Energy, which is to power the facility with fuel cells, fell 3% on the news, and Bloom said it remained committed to the contract and to the planned timeline.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  13. ReportedCNBC noted that the project has faced local opposition ahead of the upcoming midterm elections.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  14. ReportedA data center of more than 2.4 gigawatts is as much a political and engineering project as a commercial one.
    CNBC, Oracle sends force majeure notice about New Mexico data center project (Project Jupiter); stock drops 3%. — September 2026 · publ. 24 September 2026 · source ↗
  15. ReportedWhat would turn it into a crisis is a second notice on another project, or a quarter in which capital spending falls sharply below plan while leases keep starting; Oracle spent $28,499 million in the first quarter of fiscal 2027, and a sudden drop would say construction, not demand, is the constraint.
    Oracle first-quarter fiscal 2027 results release, Form 8-K exhibit 99.1, with supplemental tables - income statement, cash flow statement and balance sheet. — Q1 FY2027 · publ. 10 September 2026 · source ↗
Sources
Generated September 25, 2026