Oracle-OpenAI data-center delay sparks AI stock sell-off; Bitcoin briefly slips under $90k
Market rumors that Oracle delayed construction of OpenAI’s large-scale data center — reportedly pushed from 2027 to 2028 due to US labor and material shortages — triggered a broad sell-off in AI-related equities and spilled into crypto markets. Oracle shares fell as much as 6% intraday and closed down 4.47%; Nvidia slid nearly 3% and AMD over 5%. Crypto-related stocks also dropped (Bitmine -9.17%, Circle -5.76%, Coinbase -0.46%). Bitcoin plunged below $90,000 around midnight before recovering to $90,287 at the time of reporting; Ethereum held above $3,000. Reports stressed the potential financial consequences for Oracle if milestones slide — including earlier recognition of capital expenditure and rising CDS costs — though Oracle denied delays, saying its Texas Abilene site already hosts 96,000 Nvidia chips and that contract milestones remain on track. Analysts note the episode highlights a shift in AI bottlenecks from pure compute (“GPU wars”) to construction, materials and power logistics, meaning supply-chain or infrastructure hiccups can rapidly affect high‑valuation AI and semiconductor stocks and, by extension, correlated crypto assets.
Bearish
The news is categorized as bearish because an alleged delay to a major OpenAI-Oracle data-center project creates immediate negative sentiment across AI and semiconductor equities, which are closely correlated with crypto risk appetite. Short-term: the rumor prompted rapid liquidation — Oracle, Nvidia and AMD fell, crypto-related stocks dropped, and Bitcoin briefly slid under $90k — indicating heightened volatility and risk-off flows. Such infrastructure or supply-chain concerns can reduce near-term revenue recognition for GPU vendors, pressuring high‑multiple tech names and reducing institutional appetite for correlated crypto positions. Long-term: if delays are confirmed and capital expenditure timing shifts, the fiscal impact on Oracle and downstream hardware suppliers could be material, prolonging pressure on related equities and indirectly capping crypto upside tied to AI sector momentum. However, official denials and quick recoveries (BTC rebounded) suggest the effect may be transient if clarification persists. Traders should expect elevated volatility, widen stop-losses, and monitor official statements, GPU shipment data, and corporate capex guidance for sustained impact.