Oracle's stock fell 1% in late trading after Bloomberg reported the company and OpenAI scrapped plans to expand their Texas data center site. The shares had been up as much as 3% earlier in the session before the news emerged, with Oracle's stock later stabilizing after erasing earlier gains.

The collapsed talks over financing and OpenAI's changing needs created an opening for Meta to consider leasing the planned expansion site from developer Crusoe. Nvidia, the AI chipmaker, helped facilitate Meta's discussions with the developer and paid a $150 million deposit to Crusoe. The 1,000-acre campus in Abilene is part of the Stargate project announced at the White House with President Trump.

Oracle and OpenAI are using Nvidia's AI semiconductors at the Stargate site, and with Crusoe seeking a tenant, Nvidia became involved to ensure its products would fill the expanded data center rather than those of rival AMD. The negotiations' collapse represents a significant setback for Oracle's AI infrastructure ambitions in Texas, while potentially benefiting Meta's growing AI infrastructure needs.