Crusoe, a leading AI data center startup known for powering OpenAI facilities, has ended its $1.25 billion deal to install Boom Supersonic’s Superpower turbines. This move leaves Boom seeking new customers as Crusoe prioritizes diverse energy sources across its growing network.
- Crusoe abandons $1.25B turbine purchase from Boom Supersonic
- Boom’s Superpower turbines planned for 42MW output each
- Crusoe shifts to mixed energy sources for AI data centers
What happened
Crusoe, an AI data center startup based in Denver, terminated plans to integrate Boom Supersonic’s new Superpower gas turbines into its data center campuses. Originally, Crusoe had agreed to acquire 29 turbines valued at $1.25 billion, with installations projected to start in 2027. These turbines utilize technology derived from Boom’s supersonic jet engine, sharing approximately 80% of the same parts.
Despite previous commitments, Crusoe confirmed it is no longer partnered with Boom Supersonic. The company emphasized a flexible approach to energy sourcing across its expanding AI data center footprint, using grid power, gas turbines for backup, and other renewables instead of exclusively relying on Boom's turbine technology.
Why it matters
This decision marks a significant setback for Boom Supersonic’s stationary power division, which was launched to commercialize its aviation engine technology as natural gas-fired power plants. Losing Crusoe as a launch customer disrupts Boom’s plans to scale turbine deployments and fund its core supersonic jet development.
For Crusoe, moving away from a single turbine supplier aligns with its broader strategy to adopt a diverse and adaptive power mix, combining renewable energy, grid electricity, batteries, and gas turbines where suitable. This flexibility supports the reliability and sustainability of the massive AI infrastructure it operates, including data centers serving OpenAI and Microsoft.
What to watch next
Boom Supersonic is still actively pursuing other stationary power customers and aims to deliver around 250 megawatts of its Superpower turbines across various sites in the coming year, with a longer-term target of 1 gigawatt by 2028. The company continues to refine its turbine technology based on feedback from customers including Crusoe.
Meanwhile, Crusoe is expected to continue expanding its AI data center network with a focus on tailored energy solutions that match each facility's specific needs. Market watchers will be closely observing how the company balances cost, sustainability, and reliability in its evolving power strategies amid growing demand for AI computing resources.