Microsoft is said to be in talks to lease several hundred megawatts of data center capacity at the Abilene Stargate campus in Texas.

The campus is being developed by Crusoe on Lancium's Clean Campus in Texas, and is the first Stargate project to go live since the '$500 billion' joint venture was announced last year.

The facilities currently live are operated by Oracle for OpenAI use, with two data center buildings launched last September. Six more are due this year for a total capacity of around 1.2GW.

After that, it was expected that the two would grow the site to 2GW, but those plans have now been abandoned due to financing challenges and OpenAI’s frequently changing demand forecasting and shifting view of Stargate. The two will instead add additional capacity elsewhere.

According to a report in The Information, citing a person with direct knowledge of discussions, Microsoft is in "advanced talks" to lease capacity at the campus.

Microsoft has been rapidly expanding its data center footprint. In its most recent earnings call, the company revealed it had brought 1GW of data center capacity online in the last quarter alone. In 2025 as a whole, 2GW were stood up by the company. Capex for the quarter also reached an all-time high of $37.5 billion, though this is not expected to continue increasing.

In addition to Microsoft, Meta is also said to be in discussions. The capacity agreements could cover 600MW, likely launched in phases.

Nvidia reportedly paid a $150 million deposit to Crusoe to help secure the site after Oracle stepped back, with the aim of ensuring that its hardware is deployed in the data centers instead of a competitor.

Nvidia, Crusoe, and Microsoft did not provide comment.