OpenAI’s Stargate data center project is encountering delays due to tariff-related economic uncertainty, as reported by Bloomberg. Market volatility and reduced costs for AI services have made investors cautious about funding Stargate, which aims to raise up to $500 million for AI infrastructure in the U.S. and abroad. SoftBank, which initially pledged significant capital, has not yet established a financing plan or engaged in detailed discussions with potential partners. Tariffs could significantly increase data center construction costs, with an analysis by TD Cowen suggesting price hikes for server racks, cooling systems, and chips could lead to average build cost increases of 5-15%. Investors are also concerned about potential overcapacity, as tech giants like Microsoft and Amazon adjust their data center strategies. — new from TechCrunch
