Crusoe, a former Bitcoin mining operator, has announced the expansion of its Abilene, Texas datacenter by an additional 900 megawatts to bolster Microsoft’s pursuit of artificial intelligence. This development complements the existing 1.2 gigawatt facility that Crusoe is constructing for Oracle and OpenAI, under its esteemed $500 billion Stargate initiative.

Initially, Oracle and OpenAI were set to lease the new capacity, but those plans were halted due to failed negotiations. Now, Microsoft is stepping in to utilize the site, potentially leveraging it for OpenAI-related AI model development.

The upgraded campus includes two new data halls and an on-site power plant, providing 900 MW of direct energy access. The data halls themselves are designed to manage a 336 megawatt critical IT load each.

Chase Lochmiller, CEO of Crusoe, stated that the integration of this new power generation capability will expedite the growth of the AI infrastructure in America like never before. The entire site is slated to reach 2.1 gigawatts capacity, with existing operations contributing approximately 200 megawatts.

Crusoe anticipates the datacenter will be fully functional by mid-next year. Although specific power sources were not disclosed, natural gas generators or fuel cells are likely, given the timeframe. Crusoe is open to providing additional details as the project progresses.