Crusoe Walks Away From Its $1.25 Billion Jet-Turbine Deal — Days After Oracle Hit the Same Wall
Seven months ago, this deal looked like a career-defining win for Boom Supersonic. Today, it's dead.
In December 2025, Boom Supersonic — the company trying to bring back supersonic passenger flight — announced AI infrastructure firm Crusoe as the launch customer for its new stationary power business: 29 jet-derived "Superpower" turbines, 1.21 gigawatts of capacity, a $1.25 billion order bundled alongside a $300 million Series B round for Boom. Now Crusoe has canceled all 29 units.
Here's what actually happened, and why the timing matters:
→ Boom's pitch was that adapted jet engines could deliver power to AI data centers faster than waiting years for grid connections — each turbine rated at 42 megawatts, with first deliveries planned for 2027
→ Boom CEO Blake Scholl confirmed turbines are no longer part of Crusoe's near-term primary power mix at its Abilene, Texas campus or other sites
→ Crusoe's Abilene campus — which supplies compute to Oracle and OpenAI — runs primarily on grid power, with gas turbines kept only as backup
→ Crusoe says it isn't abandoning turbines as a category — just this specific deal — and is keeping its options open across grid power, solar, wind, batteries, and other gas suppliers depending on the site
→ The cancellation comes just days after Crusoe closed a fresh $3.9 billion Series F at a $30.9 billion valuation, and the same week Oracle filed a force majeure notice over power delays at its own $165 billion Stargate site
→ Baker Hughes, contracted to supply generators for the original order, is now also left without that customer
What makes this worth paying attention to isn't the cancellation itself — companies change suppliers all the time. It's that two of the biggest players in AI infrastructure hit the exact same wall, in the same week: getting enough electricity to a data center on schedule. Crusoe has billions in fresh capital and still couldn't make this specific power bet pencil out. That's a sharper signal about where the real AI bottleneck sits right now than almost any model benchmark release.
Power, not chips, increasingly looks like the thing that decides how fast AI infrastructure can actually scale.
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