OpenAI pauses UK data centre deal over energy costs and regulation
Summary
OpenAI has paused its UK 'Stargate UK' data‑centre project, citing high energy costs and regulatory uncertainty.
Key quotes
"We see huge potential for the UK's AI future. London is home to our largest international research hub, and we support the government's ambition to be an AI leader,"
"AI compute is foundational to that goal - we continue to explore Stargate UK and will move forward when the right conditions such as regulation and the cost of energy enable long-term infrastructure investment,"
The multi‑billion‑pound project, intended to boost AI infrastructure in North Tyneside, was announced as part of a wider UK tech investment package. OpenAI said it will resume only when conditions for long‑term investment improve.