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Trump's Megaproject Suddenly Halted, Entangled in Legal Issues

| Source: CNBC Translated from Indonesian | Technology
Trump's Megaproject Suddenly Halted, Entangled in Legal Issues
Image: CNBC

Jakarta, CNBC Indonesia - The megaproject for an artificial intelligence (AI) data centre, touted as a symbol of technological cooperation between the United States (US) and the United Kingdom, has been suddenly suspended. The Stargate UK project, spearheaded by OpenAI, is on hold due to regulatory issues and the high cost of energy in the UK.

OpenAI, the company behind ChatGPT, announced the decision after assessing that the investment environment in the UK does not yet support the construction of large-scale, sustainable AI infrastructure. This delay poses a setback to the UK government’s ambitions to position the country as a global AI centre.

The Stargate UK project was launched last September in partnership with Nvidia and Nscale. The launch coincided with a visit by US President Donald Trump to the UK, which was claimed to have generated investments of up to 150 billion pounds sterling, or approximately US$201.14 billion.

The company described the project as a major step in the technological partnership between the two nations. Stargate UK is designed to strengthen the UK’s sovereign computing capabilities and accelerate AI adoption in the country. Sovereign computing refers to a nation’s ability to build and control its AI infrastructure independently.

However, those plans have been put on hold. OpenAI emphasised that the project will proceed if investment conditions become more supportive, particularly regarding regulations and energy costs.

“We see great potential for the future of AI in the UK. London is home to our largest international research centre, and we support the Government’s ambitions to become an AI leader,” OpenAI stated, quoted from Reuters, Friday (10/4/2026).

“We continue to explore Stargate UK and will proceed when the right conditions, such as regulations and energy costs, allow for long-term infrastructure investment,” the company added.

The UK government has stated its continued commitment to strengthening national computing capacity. A government spokesperson said they are still working with OpenAI and other AI companies to promote AI infrastructure development.

UK Prime Minister Keir Starmer has placed AI at the centre of his economic growth strategy. This move aims to attract foreign investment and revive the UK’s stagnant economy ahead of the 2029 national elections.

For context, shortly after being inaugurated as US President in January 2025, Donald Trump made a major announcement about Stargate, alongside several prominent figures in the technology industry.

Together with SoftBank CEO Masayoshi Son, OpenAI CEO Sam Altman, and Oracle founder Larry Ellison, Trump promoted a project worth US$500 billion to build AI infrastructure. Stargate then partnered with other countries, including the UK.

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