WS #17044
UBS and Goldman Sachs estimate that 30-45% of planned U.S. data center additions are at risk due to power and grid constraints, creating a massive supply-demand mismatch. Despite this, OpenAI's CFO confirmed they are pressing ahead with data-center expansion. Meanwhile, Microsoft is winding down its Oracle AI cloud deal to rent capacity, suggesting a move toward flexible, short-term operational leasing rather than long-term capital commitments. This divergence between aggressive buildout plans and physical grid realities is the primary driver of the current tech selloff.
AI Infrastructure Bottlenecks
UBS and Goldman Sachs estimate that 30-45% of planned U.S. data center additions are at risk due to power and grid constraints, creating a massive supply-demand mismatch. Despite this, OpenAI's CFO confirmed they are pressing ahead with data-center expansion. Meanwhile, Microsoft is winding down its Oracle AI cloud deal to rent capacity, suggesting a move toward flexible, short-term operational leasing rather than long-term capital commitments. This divergence between aggressive buildout plans and physical grid realities is the primary driver of the current tech selloff.