A Guardian investigation revealed that OpenAI apparently never visited a primary site intended for the Stargate UK data center project prior to its public announcement in September 2025. This initiative, a partnership between OpenAI, Nvidia, and British cloud provider Nscale, was initially unveiled during a state visit by Donald Trump with promises of deploying 8,000 Nvidia GPUs by Q1 2026, with plans to scale to 31,000 units. The project was positioned as a central component of a broader £31 billion government package aimed at boosting Britain's AI infrastructure.

Inspections by the Guardian in March 2026 found that the designated site in Loughton, Essex, was a functioning scaffolding yard with no evidence of construction, despite Nscale's earlier claims of site ownership and facility development. Furthermore, the UK government’s Department for Science, Innovation and Technology confirmed that it did not actively audit the £1.9 billion investment contract announced for the project. Reports indicate that no such contract was ever formally signed, and the government relied on company self-reporting to substantiate billions in private AI commitments.

OpenAI formally paused Stargate UK in April 2026, citing Britain's industrial electricity costs, which are approximately four times higher than those in the US, Finland, Norway, and Sweden. The company also pointed to unresolved regulatory concerns regarding AI and copyright. No construction had commenced at Cobalt Park, the project's primary site near Newcastle. While the Stargate UK project stalled, Nscale redirected its efforts, investing €695 million in Portugal to supply 66,000 Nvidia Rubin GPUs to a Microsoft data center campus. The UK government continues to announce significant AI infrastructure pledges, including recent commitments from AMD and Nebius, yet the Stargate episode highlights a reliance on unverified announcements that may not align with physical market development.

A Guardian investigation revealed that OpenAI apparently never visited a primary site intended for the Stargate UK data center project prior to its public announcement in September 2025. This initiative, a partnership between OpenAI, Nvidia, and British cloud provider Nscale, was initially unveiled during a state visit by Donald Trump with promises of deploying 8,000 Nvidia GPUs by Q1 2026, with plans to scale to 31,000 units. The project was positioned as a central component of a broader £31 billion government package aimed at boosting Britain's AI infrastructure.

Inspections by the Guardian in March 2026 found that the designated site in Loughton, Essex, was a functioning scaffolding yard with no evidence of construction, despite Nscale's earlier claims of site ownership and facility development. Furthermore, the UK government’s Department for Science, Innovation and Technology confirmed that it did not actively audit the £1.9 billion investment contract announced for the project. Reports indicate that no such contract was ever formally signed, and the government relied on company self-reporting to substantiate billions in private AI commitments.

OpenAI formally paused Stargate UK in April 2026, citing Britain's industrial electricity costs, which are approximately four times higher than those in the US, Finland, Norway, and Sweden. The company also pointed to unresolved regulatory concerns regarding AI and copyright. No construction had commenced at Cobalt Park, the project's primary site near Newcastle. While the Stargate UK project stalled, Nscale redirected its efforts, investing €695 million in Portugal to supply 66,000 Nvidia Rubin GPUs to a Microsoft data center campus. The UK government continues to announce significant AI infrastructure pledges, including recent commitments from AMD and Nebius, yet the Stargate episode highlights a reliance on unverified announcements that may not align with physical market development.