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estearum • today at 9:59 AM • 2 replies • view on HN

Don’t they have a fully committed preorder for like $500 billion in compute from Oracle starting in 2028? And Oracle is funding that buildout with junk debt?

Replies

chiph • today at 11:38 AM

Oracle is the one with the debt. OpenAI has an order/contract (promise) to someone else.

Presumably there are penalties if OpenAI were to cancel that order (I am confident that Oracle's army of lawyers made sure to include that). That's the unmovable rock on OpenAI's books, not the data center.

fn-mote • today at 11:38 AM

> junk debt

Not a useful term, here.

AIUI, the building is funded by making the people who order it part owners in the new data center company. Not sure and I don’t care enough to find out; clarification welcome.