OpenAI has indefinitely paused its Stargate UK data center project, citing high energy costs and regulatory uncertainty as key obstacles. The initiative, part of a $500bn global AI infrastructure plan with partners like Nvidia, Microsoft, and SoftBank, was slated for northeast England but now faces delays. The UK government, which had touted the project as critical to its AI sovereignty goals, expressed disappointment, noting OpenAI’s commitment to London research hubs remains intact.

Regulatory hurdles include stalled UK policy changes around AI training data copyright, which OpenAI called a contributing factor.