Here's How Oracle's "Force Majeure" Changes the AI Data Center Thesis

Oracle has issued a “force majeure” notice to Blue Owl Capital tied to its $165 billion AI data center project, asking the landlord to pause rent payments if construction is delayed beyond 2028. Oracle says its 2.45-gigawatt New Mexico facility is still on track to finish in 2028, but warns that New Mexico’s regulatory environment could complicate revenue recognition. Blue Owl can either honor the request or challenge it in court. The situation highlights how difficult it is to secure power, permits, and local acceptance—an advantage for operators with existing infrastructure. Colocation and data-center builders including Nebius Group, Iren, Cipher Digital, and TeraWulf could benefit.