Oracle pushes back on reported OpenAI data centre delays amid earnings pressure

Oracle has disputed reports of delays in building AI-focused data centres for OpenAI, saying project timelines remain on track, even as weaker quarterly results and investor concerns weighed on its stock performance.

Oracle has found itself under renewed scrutiny after reporting quarterly results that fell short of Wall Street’s revenue expectations, followed by claims that timelines for major AI data centre projects linked to OpenAI had been pushed back. A Bloomberg report suggested that completion dates for some facilities have slipped from 2027 to 2028, citing labour and material shortages.

The report triggered investor concerns, sending Oracle shares down about 4 percent. However, the company has firmly denied that any contractual commitments have been affected.

Oracle rejects delay claims

Responding to the report, an Oracle spokesperson said the company is meeting all agreed milestones under its contract with OpenAI. According to Oracle, site selection and delivery schedules were finalised jointly with OpenAI after the agreement was signed, and those timelines remain unchanged.

“There have been no delays to any sites required to meet our contractual commitments, and all milestones remain on track,” the spokesperson said, adding that construction plans were coordinated closely with OpenAI. Oracle did not, however, provide a specific timeline for when cloud infrastructure at the new sites will be fully operational.

The data centre developments form part of a massive agreement signed earlier this year, reportedly valued at around $300 billion. Under the deal, Oracle is responsible for delivering large-scale cloud computing capacity to support the training and operation of OpenAI’s advanced artificial intelligence models, including systems behind ChatGPT.

Stock reaction and project progress

Despite the reported concerns, Oracle executives struck an optimistic tone during the company’s earnings call. Co-CEO Clay Magouyrk said Oracle has set “ambitious but achievable” global capacity targets and remains confident in its delivery plans.

He also confirmed progress at the first OpenAI-focused data centre in Abilene, Texas, noting that more than 96,000 Nvidia chips have already been delivered to the site. The update was aimed at reassuring investors that key projects are moving forward, even as Oracle navigates short-term financial pressures and heightened expectations around its role in AI infrastructure.