OpenAI puts Stargate UK on hold

The UK government played down widespread reports OpenAI had put its domestic Stargate plans on hold, telling Mobile World Live it would continue to work with the US-based organisation and other leading companies to boost compute capacity. Bloomberg and CNBC are among the news outlets reporting Open AI told them it was pausing development of Stargate UK due to the cost of energy and regulatory environment. A representative for the UK’s Department of Science Innovation and Technology told Mobile World Live the initiative remained a key element in a wider push around AI compute capacity which it said is already delivering broad benefits. “Our AI sector has attracted more than £100 billion in private investment since the government took office, with the sector growing 23-times faster than the wider economy” in 2025. The representative said the government is committed to “continuing to create the right conditions for investment in the UK’s AI and data centre infrastructure”, adding the field is already “delivering the jobs and opportunities hardworking people deserve”. Stargate was unveiled by US President Donald Trump in January 2025 as the nation also looked to rapidly expand its AI compute capabilities. Open AI, Oracle and SoftBank Group are expected to pump up to $500 billion into the project in the coming years and work on a host of facilities in the US are afoot . The AI company announced plans for Stargate UK in September 2025, explaining it was partnering with Nvidia and Nscale on a plan which originally mooted deploying up to 8,000 GPUs in the opening quarter of this year. The post OpenAI puts Stargate UK on hold appeared first on Mobile World Live .