---
title: The AI boom has a construction problem.
description: "Oracle has reportedly sent a force majeure notice to the developer of Project Jupiter, its vast New Mexico data center. The notice seeks to protect Oracle from payments if the site misses its planned 2028 opening. Oracle says the project remains on schedule.\n\nMeanwhile, roughly $18 billion in loans backing the project have reportedly traded around 90 cents on the dollar. Local concerns over water and air quality, along with obstacles to supplying power, have raised questions about delays.\n\nThat is the risk behind the AI buildout: compute contracts and financing can be signed quickly. Power infrastructure, permits and community support take longer.\n\nIf a data center opens late, the consequences can run through its lenders, tenant and customers waiting for capacity.\n\nThe next AI bottleneck may be getting the buildings online.\n\nSource: zerohedge"
---

[Syz The Moment](https://blog.syzgroup.com/syz-the-moment)

# [The AI boom has a construction problem.](https://blog.syzgroup.com/syz-the-moment/the-ai-boom-has-a-construction-problem)

 Written by [Charles-Henry Monchau, CFA, CMT, CAIA](https://blog.syzgroup.com/syz-the-moment/author/charles-henry-monchau) | Sep 25, 2026, 3:21:27 PM

[View full post](https://blog.syzgroup.com/syz-the-moment/the-ai-boom-has-a-construction-problem)

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