Microsoft Project Jupiter New Mexico: $165B Stargate AI Hub
Status: Under Construction / Phase 1 Envelope (April 2026) | Location: Santa Teresa, new maxico
Project Overview
Formally approved in a historic 4-1 vote in September 2025, Project Jupiter is a $165 billion “Mega-Project” located in the New Mexico Borderplex. It represents one of the five primary Stargate nodes announced by the joint venture between OpenAI, SoftBank, Oracle, and MGX. Unlike conventional hyperscale facilities, Jupiter is designed as a "power-independent" campus, capable of minimizing its impact on the public grid while supporting high-density AI training workloads.
To achieve this, Oracle submitted permits in March 2026 for a behind-the-meter natural gas-powered microgrid incorporating advanced GE Vernova turbines and Solar Turbines, enabling the facility to act as a flexible load that can disconnect from the regional grid during peak demand periods. Another standout innovation is its zero-water evaporative cooling system. Situated in the arid Chihuahuan Desert, Jupiter uses a closed-loop design that recirculates water, requiring only a one-time fill and approximately 20,000–60,000 gallons per day for domestic needs, dramatically lower than traditional data centers. By April 2026, the site had become a major engine for the local economy, generating over $384 million annually in economic output during the construction phase and establishing New Mexico as a key hub for sovereign AI infrastructure.
Quick Facts
| Field | Value |
|---|
| Project Name | Microsoft Project Jupiter New Mexico: $165B Stargate AI Hub |
| Location | Santa Teresa, new maxico |
| Status | Under Construction / Phase 1 Envelope (April 2026) |
| Commissioning | Phase 1 (4 Buildings) Online: Late 2026; Full Build: 2029 |
| Total IT Load | 1,000 MW+ (1.0 GW scale expansion) |
| Total Capacity | Part of the $500B Stargate U.S. 10GW Roadmap |
| Tier Level | Tier IV (Mission-Critical AI Resilience) |
| Project Type | National-Scale AI Training & AGI Research Hub |
City Profile
| Header | Details |
|---|
| City Name | Santa Teresa |
| Population | ≈ 5,044 (2020 Census) |
| Urban Agglomeration | ~547,000 |
| City GDP | GDP figures are not published |
| Per Capita Income | ≈ $27,400 |
| City Tier | In U.S. terms, Santa Teresa would be categorized as a small community |
| Key Strengths | Strategic Border Location: Home to the Santa Teresa Port of Entry, making it important for international trade and logistics with Mexico. |
Companies Involved
| Header | Details |
|---|
| Developer / Operator | Oracle Cloud Infrastructure (OCI) |
| Strategic Infrastructure Partner | Doña Ana County / New Mexico Environment Dept (NMED). |
| Construction Contractor | 4,000+ construction roles; prioritizing "Doña Ana First" hiring. |
| MEP Engineering | $N+2$ Redundancy; Closed-loop dry cooling architecture. |
| Network Connectivity | Strategic proximity to major transcontinental fiber backbones. |
| Power Infrastructure | Behind-the-meter Gas Microgrid + Future Solar/Battery firming. |
Technical Specifications
| Header | Details |
|---|
| Power Capacity | Scalable Gigawatt-class roadmap (Final capacity undisclosed). |
| UPS Redundancy | $N+1$ with integrated 24/7 onsite generation backup. |
| Cooling System | Zero-Water Evaporative Cooling (Closed-loop dry system). |
| Connectivity | Core training node for OpenAI's frontier AGI models. |
| PUE Target | < 1.15 |
| Energy Mix | Transitioning from Gas Microgrid to Net-Zero via local Solar. |
Milestones
| Header | Details |
|---|
| Announcement | August 26, 2025 |
| Construction Start | Late 2025 |
| Phase 1 Go-Live | Expected Late 2026 |
| Full Buildout | 2029 |
Investment Details
| Header | Details |
|---|
| Total Investment | $165 Billion |
| Funding | Stargate LLC (Private Equity + Debt-like financing). |