Alphabet and Blackstone’s Project Braid cloud venture has hit delays at several sites meant to house Google AI chips, complicating plans to lease the processors to customers in 2027, according to people familiar with the matter.

They said Google scrapped a plan for Crusoe, a US data-center developer, to develop a site in Cheyenne, Wyoming. Google then took over the project and is reapplying for permits. Google is the customer behind a 2.7GW campus near Cheyenne.

Blackstone and Google announced the venture as a joint effort to build data-center capacity for Google’s Tensor Processing Units, or TPUs.

Customers typically rent TPUs through Google Cloud rather than buy them outright.

The Texas holdup reflects a statewide review that Governor Greg Abbott ordered into data-center electricity use and grid interconnection impacts. Surging US demand also strains transformer supplies.

Project Braid launched with US$5 billion from Blackstone. Its chief executive said the venture is on track to deliver 500 megawatts next year.

Still, the setbacks add to pressure on AI infrastructure after a May JP Morgan report said more than 60% of planned 2027 capacity had not started construction.

🔗 Source: Bloomberg

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