The pausing of a scheme to create a data centre aimed at boosting the country's AI infrastructure is "disappointing" but "reflects national challenges around energy pricing", local political chiefs say.
ChatGPT-maker OpenAI announced on Thursday it was halting its Stargate UK scheme, which would have included the data centre at Cobalt Park in North Tyneside among a wider £31bn technology agreement.
It cited concerns about high energy costs and regulation, saying it would only move forward when the "right conditions" could "enable long-term infrastructure investment".
The North East Combined Authority (Neca) said the region remained "open for business".
When the data centre project was announced last September, OpenAI said it would help strengthen the UK's "sovereign compute capabilities" and bolster its native AI development.
