OpenAI forced to delay plans for $20B data center in Georgia

By Arianna Skibell | 08/14/2026 06:29 AM EDT

The data center is expected to consume three times the electricity needed to power the city of Atlanta.

The OpenAI logo is displayed on a cellphone in front of an image generated by ChatGPT's Dall-E text-to-image model.

The OpenAI logo is displayed on a cellphone in front of an image generated by ChatGPT's Dall-E text-to-image model. Michael Dwyer/AP

OpenAI’s bid to build a sprawling $20 billion data center near the Georgia coast has hit a snag with utility regulators and the state’s largest power provider.

Georgia Power on Thursday voluntarily delayed the start date of its 25-year service agreement to supply the creator of ChatGPT with massive amounts of electricity. The move came after state regulators signaled they would object to the contract in its current form.

The voluntary delay now gives the utility 12 days to satisfy the Public Service Commission’s concerns — a much shorter window than the 30-day delay that would have been triggered by an outright objection. The new deadline for review and approval is Aug. 26.

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The commission’s hesitation to approve the contract came into focus during a Thursday meeting when Democratic Commissioner Peter Hubbard asked the Republican-led panel to object to the contract before it was slated to take effect Friday.