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Oracle invokes ‘force majeure’ on OpenAI data centre contract

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Oracle has written to Blue Owl Capital, the private credit funders for most of its Stargate-OpenAI data centre push, claiming force majeure on delays on their Project Jupiter facility under construction in New Mexico. [Bloomberg, archive]

This is about the power supply for the data centre. The gas pipeline for the generators has been delayed repeatedly. So Oracle wants to put off full rent payments until the pipeline is in place. [Bloomberg, archive]

The gas pipeline has been delayed because Oracle and Blue Owl went full steam ahead on the project before they got all the permits they needed. They hoped for the pipeline to be up and running last month. But now it looks like it won’t be up before late 2027. If then. New Mexico has refused the permit twice.

“Force majeure” usually means a natural disaster hit you — not “we didn’t get our permits”. Oracle is not making friends locally by playing fast and loose:

Before Project Jupiter was revealed in full, the developers worked with local officials on an incentive plan and a strategy for how to roll out information to the public, according to documents previously reviewed by Bloomberg. Locals only learned the venture was tied to Oracle and OpenAI after it was approved.

The locals are pushing back hard on what two gigawatts of burning gas will do to the local environment.

And Oracle cannot terminate the data centre lease: [WSJ]

Oracle signed a lease for the New Mexico facility with so-called hell-or-high-water terms, meaning the deal can’t be terminated and Oracle is obligated to make rent payments regardless of whether it has secured the power to operate the data centers, according to people with knowledge of the deal.

So Oracle is on the hook even if the site never gets enough power.

This is not the end of the project. As yet. This is Oracle opening negotiations with Blue Owl about the delay.

But calling force majeure this early in a project does not look good. The lenders are already losing confidence in Oracle and Blue Owl’s debts on the project:

At least one bank that arranged New Mexico loans sold off a portion of the debt for a price below 90 cents on the dollar.

Oracle stock dipped 7.5% on the news. Blue Owl dipped 5%. Bloom Energy, who are contracted to build the generators, dipped 7% but has since recovered.

This does not mean the end of Oracle, it doesn’t mean the end of Blue Owl, and it doesn’t mean the end of the AI bubble. But for the investors, it is like seeing another rivet pop out of the bridge. We’ll get there.


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mkalus
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Mix: Gaya Kloud – Dub & Dubtech Special 2026

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Weil gerade erst bei Echospace waren…

Gaya schickt mir heute einen Link zu seinem Dub & Dubtech Mix, den er Vinyl only gerade erst aufgenommen hat und hängt in der Discription eine hübsche Story mit ran.

I still remember it very well — somewhere in Mitte, Berlin, 1994, in some random backyard. I was there with a friend because a guy from Potsdam, DJ René, was playing that night.

And that was the first time I heard Dub Techno — in a completely unpretentious setting, which was rather unusual back then. Yeah, I know, I can’t remember exactly anymore, but I think Oswald or Ernestus were playing there too. Great sound system, no amateurs, and many of the early techno scene’s familiar faces were there.

Back then, I had absolutely no idea just how influential this sound would become. Naturally, I bought pretty much everything from the Oswald / Ernestus camp, and over the years that passion just kept expanding.

But when you go this deep into it, where do you actually get to hear this music? Dub Station Fusion, yes, occasionally — but it’s still pretty rare.

So every now and then, another little gem finds its way into my collection. And at some point, I felt it was time to finally weave some of these pieces together into a vinyl set.

Hope you enjoy it.

Vielleicht meint er René Löwe, den ich später mal auf eine unserer Dubtechno Nächte in Potsdam gebucht hatte, was aber auch egal ist. Und ich mag den Gaya und das, was er tut ja wirklich außerordentlich gerne, aber seine unkreative Art seine Mixe zu benennen… Puh… Dicker!

Aber so wisst ihr immerhin, was ihr hier serviert bekommt: „Dub & Dubtech Special“. Und das ist dabei wirklich eindeutig Programm.

Tracklist:
1- Somah – white
2- Mathimidori – Kingston Riddim
3- Dialog Versions – Warm
4- 777Hz – #4
5- Dialog Versions – Together
6- Dialog Versions – If You Know
7- Rhythm & Sound – Never Tell You
8- Dialog Versions – Respect
9- Dialog Versions – Book of Life
10- Dialog Versions – Stranger
11- 777Hz – His is Bliss
12- 777Hz – #3
13- Rhythm & Sound – King in my Empire
14- Sven Weisemann – Azuma

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MSCHF Twists and Stretches Lexus Cars Into Surreal Sculptures

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MSCHF Twists and Stretches Lexus Cars Into Surreal Sculptures

Brooklyn-based art collective MSCHF has made a practice of turning familiar objects into something stranger, whether that means blowing a cartoonish red boot up to near-comical proportions or shrinking a handbag to microscopic scale. For its latest experiment in distortion, MSCHF has chosen a considerably larger subject: two Lexus vehicles.

A silver MSCHF Lexus is parked indoors near a red wall displaying the word “MOTOMORPHOSIS” as two people walk by in the background.

Photography by Matt Hartz for Lexus

Commissioned by Lexus for MOTOMORPHOSIS, a new exhibition opening during New York’s Armory Week, MSCHF transformed a Lexus RZ 450e and RX 450h+ into a pair of automotive sculptures that look less fabricated than digitally manipulated. Each appears alongside its production counterpart, making the extent of the transformations immediately apparent.
The RZ 450e becomes Circle Car, its body stretched and curved until the front and rear meet in a continuous loop. The RX 450h+ undergoes a different kind of contortion in Twisted Car, where the vehicle rotates dramatically along its length, pulling its windows, doors, and body lines into a spiral.

Two silver electric SUVs, reminiscent of the innovative spirit behind MSCHF and Lexus MOTOMORPHOSIS, are parked indoors next to a large, curved charging station in a concrete garage with exposed ceilings.

Photography by Matt Hartz for Lexus

While both might resemble concept cars from an especially surreal auto show, MSCHF calls them “Form Cars.” The distinction flips the conventional concept-car exercise on its head: rather than using an experimental vehicle to explore future technology or functionality, the collective treats the existing automobile primarily as a form to be manipulated.

A silver Lexus RZ 450e with a New York license plate reading “MSCHF” is parked indoors next to another silver Lexus vehicle, perfectly capturing the spirit of MSCHF’s creative MOTOMORPHOSIS.

Photography by Fritz Metayer for MSCHF

That approach draws from the digital tools designers routinely use. Operations like stretching, bending, and twisting an object are relatively mundane inside 3D software, even when they produce geometries that would be absurd in the physical world. MSCHF also points to the “squash and stretch” of 3D animation, where forms distort through smear frames to communicate action. MOTOMORPHOSIS effectively freezes that visual shorthand and gives it physical mass.

Rear view of a silver Lexus RZ450e with a New York license plate reading “MSCHF,” highlighting the unique MSCHF Lexus MOTOMORPHOSIS aesthetic.

Photography by Fritz Metayer for MSCHF

Exhibiting the sculptures beside intact versions of the vehicles reinforces the contradiction. One object is carefully engineered to move through physical space; its distorted double is completely static, yet visually communicates movement more emphatically.

Futuristic silver concept car with a twisted, sculptural body design, reminiscent of the MSCHF Lexus MOTOMORPHOSIS, displayed indoors on a concrete floor.

Photography by Fritz Metayer for MSCHF

“Most conversations about electrification focus on how a vehicle is powered. MOTOMORPHOSIS asks a different question: What can electricity power in our imagination?” says Lisa McQueen, senior manager of Lexus marketing. “Working with MSCHF allowed us to take the automobile beyond its familiar form and explore movement, transformation and possibility in an entirely new way.”

A small silver toy car, reminiscent of the MSCHF Lexus MOTOMORPHOSIS project, is placed on a smooth, reflective gray surface with a curved metallic structure in the background.

Photography by Fritz Metayer for MSCHF

MOTOMORPHOSIS is on view at Chelsea Industrial in New York until Sept. 26, 2026.

Editorial Transparency: This article was developed with the assistance of AI tools, which may have been used for research, outlining, editing, or copy refinement. Reporting, fact-checking, and editorial decisions were made by the Design Milk editorial team.

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On the seawall

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Michael Kalus posted a photo:

On the seawall



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Murder of Crows

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Michael Kalus posted a photo:

Murder of Crows



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Hello

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Michael Kalus posted a photo:

Hello



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