Data center developer Related Digital is close to securing nearly $16 billion in financing for a massive Oracle data center project, following months of negotiations with investors. The funding is expected to be finalised as early as this month, marking one of the largest infrastructure deals tied to artificial intelligence expansion.
The project involves building a large-scale data center campus in Saline Township, Michigan, which will support Oracle’s cloud operations and power applications for OpenAI. The facility is part of the broader push to scale AI infrastructure and meet the growing demand for high-performance computing.
The financing structure includes approximately $2 billion in equity investment from Blackstone, which is lower than initially expected, and around $14 billion in debt financing led by Bank of America. The debt component, originally planned as a construction loan, is now likely to be structured as a bond offering, reflecting evolving financing strategies for large AI infrastructure projects.
This development comes amid a broader surge in investments by major technology companies into AI-driven data centers. Companies are increasingly committing billions of dollars to build the physical infrastructure required to support advanced AI systems and cloud services.
The Michigan project is part of Oracle’s wider collaboration with OpenAI under the “Stargate” initiative, which aims to significantly expand AI computing capacity in the United States. The campus is expected to exceed 1 gigawatt in capacity, highlighting the scale and energy demands of next-generation AI infrastructure.
The near-finalisation of this funding underscores the growing importance of data centers as critical infrastructure in the AI era, with investors increasingly treating such projects as long-term, stable assets backed by strong demand for computing power.
