Today, thanks to Michigan, America is closer to winning the AI race.

Together with our partners Related Digital and DTE Energy, construction of Oracle’s AI data center in Saline Township, Michigan, will move forward rapidly. As the future tenant, Oracle will operate the data center once it’s delivered and provisioned, outfitting it with the latest technology for our customer, OpenAI.

With 147 active data centers around the world, and 64 more on the way, Oracle is highly experienced in building data centers. We leverage this expertise to ensure our campuses meet the needs of both customers and communities.

In Michigan, we know Saline Township residents have questions on topics ranging from water and energy use to job creation and the local economic impact of our investments. We’re happy to answer them.

Let’s start with water. Liquid cooling is an essential part of many data centers’ infrastructure. Some developers design data centers that consume water at an enormous rate because the water evaporates as it cools the hardware, requiring potentially millions of gallons of water daily. But our campus will use closed-loop, non-evaporative cooling systems, which means the cooling system tank only needs to be filled once, putting our annual water consumption on par with an average office building.

Residents are also concerned about whether the Saline Township data center will increase their energy costs. It won’t. Oracle will pay 100% of the energy costs to power the Saline Township campus, including battery storage. Oracle will also pay for new transmission lines to the campus and an onsite substation. Under the terms of our contracts, which the Michigan Public Service Commission approved today, DTE will provide Oracle electric service under an existing rate schedule for the next 17+ years. The agreement includes enhanced protections for residents, with provisions including credit and collateral requirements. DTE has stated that it will not impact existing rates or increase the cost of service for existing customers. Importantly, the agreement follows Michigan law, recently passed, prohibiting utilities from burdening ratepayers with the electric costs of data centers.

In fact, as the Saline Township campus comes on-line, DTE customers will benefit because Oracle will be contributing, as a large new customer, to the existing fixed costs that DTE ordinarily spreads over its customer base. By 2029-2030, the overall estimate is that Oracle will contribute approximately $300 million annually to making energy more affordable for consumers.

Residents have also asked whether our data center will create jobs and make lasting investments that will benefit the community. Here are the facts:

This data center will create 2,500 union construction jobs. Once complete, our data center campus will provide an estimated 450 good-paying jobs on-site and an estimated 1,500 across Washtenaw County, including IT technicians, systems administrators, electrical engineers, supply chain, inventory control, and physical security specialists. Today’s action gives confidence to thousands of union construction workers who will be able to proudly build the infrastructure of the future in their home state of Michigan. We look forward to full construction commencing as scheduled in Q1 2026.

The project is also investing millions to improve schools and public infrastructure, including $8 million annually for area schools, at least $1.6 million each year in direct tax revenue for Saline Township, and more than $14 million in direct community benefits to support emergency services and local fire department, preserve farmland, repair Township buildings and facilities, and make investments in playgrounds and parks.

Oracle will partner with local businesses to provide support and services for the new campus, and we will always prioritize hiring local workers to support this data center of the future. We are also committed to fostering Michigan’s future workforce. We’ll identify a network of local trade schools, community colleges, universities, workforce development organizations and career centers to train future workers for a career in technology.

Our campus is being developed responsibly. The project is developed on just 250 of 575 acres in Saline Township, with minimum setbacks of 75 feet from the road and substantial landscape screening, preserving the character of the community. The remaining acreage will be protected as open space, farmland, wetlands and woodlands, including 47.5 acres that will be placed within conservation easement.

Ultimately, American AI innovation will advance breakthroughs in areas such as healthcare and scientific discovery, expand educational opportunities for our children, and strengthen America’s national security. This will only be possible if America remains the preeminent leader in AI. Thanks to the support from many leaders across the State and township, unions and the business community, Michigan is helping to power America’s economic prosperity and leadership standing in the world for generations to come. Oracle will do everything in our power to ensure that our new neighbors in Saline Township reap the benefits.

Forward-Looking Statements Disclaimer

Statements in this article relating to Oracle’s future plans, expectations, beliefs, and intentions are “forward-looking statements” and are subject to material risks and uncertainties. Many factors could affect Oracle’s current expectations and actual results, and could cause actual results to differ materially. A discussion of such factors and other risks that affect Oracle’s business is contained in Oracle’s Securities and Exchange Commission (SEC) filings, including Oracle’s most recent reports on Form 10-K and Form 10-Q under the heading “Risk Factors.” These filings are available on the SEC’s website or on Oracle’s website at http://www.oracle.com/investor. All information in this article is current as of December 18, 2025 and Oracle undertakes no duty to update any statement in light of new information or future events.