Crusoe, the Denver-based AI data center startup that recently raised $3.9 billion, has ended plans to use a new line of stationary power plants developed by fellow Denver company Boom Supersonic. The pivot scraps an estimated $1.25 billion commitment and signals a shift in how the fastest-growing data center builders are thinking about on-site energy.
Boom, best known for its supersonic passenger aircraft program, had pivoted during the AI boom to develop natural-gas-fired stationary turbines aimed at data center operators who needed power faster than the grid could deliver. Crusoe was among its anchor customers, planning to deploy the turbines at its massive Abilene, Texas campus and other sites.
Boom CEO Blake Scholl confirmed the company's new power plants were no longer in Crusoe's near-term plans. The reversal comes as AI data center operators increasingly turn to utility-scale grid connections, nuclear microreactors, and advanced geothermal rather than fossil-fuel bridging solutions.
Crusoe's shift reflects broader industry dynamics. Hyperscalers and AI-native builders alike are under pressure from investors and regulators to demonstrate sustainable energy sourcing. Natural-gas turbines, while faster to deploy than grid interconnections, carry carbon-intensity concerns that increasingly clash with corporate net-zero pledges.
For Boom, the lost Crusoe contract is a significant blow to its stationary-power business line. The company has not announced replacement customers of comparable scale. Crusoe, meanwhile, is expected to announce alternative energy partnerships in the coming weeks.
