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Oracle Will Reportedly Spend $1 Billion a Year on a Gas-Powered Data Center

By District Energy posted 08-21-2025 17:42

  

Gizmodo

Summary

Oracle is going all-in on its AI-focused cloud business, pouring billions into building massive new data centers. One site under construction in West Texas will reportedly cost the company around $1 billion just to keep the lights on.

Bloomberg reported, citing unnamed sources familiar with the plans, that Oracle intends to spend more than $1 billion a year to run a new West Texas megasite on gas generators rather than wait for a utility hookup. 

Oracle’s new gas-powered data center is going up in Shackelford County, Texas, not far from another one of its data centers in Abilene. Developed by Vantage Data Centers, the site will have a massive 1.4-gigawatt capacity, making it one of the largest data centers in the world. 

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