March 24 (Reuters) - Microsoft ( MSFT ) has agreed to rent a data

center project in Texas that was originally being developed for

Oracle and OpenAI, Bloomberg News reported on Tuesday, citing

people familiar with the situation.

The Abilene site, which accounts for roughly 700 megawatts

of capacity, sits next to Oracle and OpenAI's flagship

Stargate campus, the report said.

Microsoft ( MSFT ) struck an agreement with developer Crusoe

after both Oracle and OpenAI walked away from talks to occupy

the site, according to the report.

Oracle, Microsoft ( MSFT ), OpenAI and Crusoe did not immediately

respond to Reuters' requests for comment.

Earlier this month, Bloomberg News reported that Oracle and

OpenAI had abandoned plans to expand an AI data center in Texas

after negotiations dragged over financing and OpenAI's changing

needs.

Oracle later said the claims that planned capacity at the

Abilene site is delayed were inaccurate.

Technology companies have been pouring billions of dollars

into data centers to power generative AI services such as

ChatGPT and Copilot, which require huge amounts of computing

power.