Oracle Confirmed as Anchor Tenant for Massive 'Project Jupiter' Data Center Campus in New Mexico
January 27, 2026
In a significant move underscoring the intense demand for AI-ready infrastructure, Oracle Corporation has been officially confirmed as the anchor tenant for the sprawling "Project Jupiter" data center campus under development in Doña Ana County, New Mexico. This revelation solidifies the strategic importance of emerging secondary markets for hyperscale development, particularly for power-intensive artificial intelligence workloads.
The confirmation comes as developers Stack and BorderPlex Digital Assets advance plans for the massive 1,400-acre campus. Project Jupiter is designed to include four data center buildings supported by an extensive on-site microgrid featuring natural gas power plants, a battery storage center, and a dedicated desalination plant. The development consortium has previously indicated a potential total investment reaching up to $165 billion into the full project, marking it as one of the most ambitious private infrastructure endeavors in the region.
Oracle has committed to substantial financial contributions to local and state entities. The company will pay over $600 million in Gross Revenue Tax payments and provide Doña Ana County with a direct payment of $320 million aimed at improving schools, infrastructure, and local services. An additional $50 million is earmarked for repairs and enhancements to the county's water system. The project is expected to generate an estimated 4,000 construction jobs and create 1,500 permanent operational positions upon completion.
Upon occupancy, Oracle will utilize the campus to host critical AI infrastructure for its partner, OpenAI. Industry publication Data Center Knowledge had previously speculated that this site was likely the "Stargate" campus announced by the OpenAI-Oracle partnership in late 2025. In its announcement, Oracle emphasized the campus's sustainable design, noting it will employ "a closed-loop, non-evaporative cooling system that will not draw water from the local water system." The company stated, "This means our water tanks only need to be filled once. After our four data center buildings are complete, the buildings’ daily operational water consumption will primarily come from kitchen, restroom, and breakroom use and will be comparable to a typical office building."
Addressing concerns about strain on public utilities, Oracle assured that the campus will operate on "its own dedicated microgrid that operates independently of the public grid, ensuring no impact to rate payers," with the company funding all new onsite transmission lines, battery storage, and a dedicated substation. Despite these assurances, the project faces local opposition. The Empowerment Congress of Doña Ana County and two residents have filed a lawsuit against the County Commission, challenging the approval process for tax incentives and arguing the project lacks sufficient transparency.
The development highlights the evolving geography of the data center industry, as tech giants seek sites with ample space, power capacity, and favorable economic conditions to support next-generation computing. It also aligns with broader industry sustainability pushes; earlier this month, BorderPlex launched a program to source up to 500MW of renewable generation for its New Mexico portfolio by 2028, scaling to 1GW by 2032.
Source: datacenterdynamics
