Empowering the Freelance Economy

UK creative freelancers score a pause in AI arms race as OpenAI Freezes Stargate Project

OpenAI's paused Stargate UK deal reportedly involved data centre projects at numerous sites, including Cobalt Park in North Tyneside (Credit: Cobalt Park)
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OPINION

OpenAI’s UK Stargate project hits a wall as energy costs and copyright concerns stall the 8,000-GPU plan. Discover why this delay is a major win for creative freelancers and a stand for national intellectual property rights


In a significant victory for the UK’s creative sector, OpenAI has reportedly paused its ambitious “Stargate” project in the UK, a massive data centre initiative that was set to house 8,000 H100 GPUs.

While soaring industrial energy costs and regulatory hurdles are being cited as the primary catalysts for the freeze, the delay signals a growing tension between Silicon Valley’s rapid expansion and the protection of sovereign intellectual property.

What’s causing Stargate’s stumble?

The project, which was expected to be a cornerstone of the UK’s artificial intelligence infrastructure, has hit a wall. Industry analysts and multiple news sources point to two main friction points: the UK’s notoriously high industrial energy prices and a tightening regulatory environment regarding copyright.

The UK government has recently faced immense pressure to clarify how AI models use creative data. While tech giants have pushed for “text and data mining” (TDM) exceptions that would allow them to scrape content for free, a fierce backlash from the creative community has forced a rethink.

Why freelancers’ voices are being heard over copyright

For creative freelancers, such as illustrators, journalists, musicians, and designers, this delay is more than just a corporate setback; it is proof that their voices are being heard.

The freeze on Stargate proves that the UK isn’t just going to hand over the keys to the kingdom without asking questions about who owns the content.

Creatives and freelancers have been vocal about the fact that their livelihoods depend on copyright protections. This pause suggests that the ‘move fast and break things’ era of AI is finally meeting the ‘wait and protect’ reality of UK law.

By staying active in unions and advocacy groups, freelancers have successfully framed copyright not as a technicality but as a worker’s right. The fact that a tech titan like OpenAI is citing “copyright rules” as a reason for a project delay indicates that the UK’s refusal to implement a “free-for-all” data-scraping law is working as a shield for independent creators.

Sovereign rights v. US AI agendas

The Stargate freeze raises a critical question for nations worldwide: Should countries feel pressured to fast-track US-led AI deals at any cost?

Across Europe and the Commonwealth, there is a growing debate over whether to follow the US model of “fair use” (which often favours tech platforms) or to take a beat to look after the rights and commercial objectives of their own citizens.

Critics of rapid expansion argue that data sovereignty matters. Allowing US companies to build massive data centres using local energy while scraping local culture can lead to a form of “digital colonialism.”

Energy security is also important given the rising cost of it. As seen with the Stargate project, the massive power requirements of AI can strain national grids, potentially driving up costs for local businesses and residents.

Then there’s worker protection to think about. National governments have a duty to ensure that AI serves to augment their workforce, not replace it, by using the workforce’s own copyrighted material against them.

AI scraping “theft” is affecting freelancer livelihoods yet big tech sees it as “fair use” for training LLMs –

Advocacy is working

The pause in the Stargate project serves as a reminder to the creative community that advocacy works. While the allure of being an “AI superpower” is strong, the UK’s current hesitation suggests that protecting the commercial value of its world-class creative industries is, for now, taking precedence over rubber-stamping Silicon Valley’s agenda.

The delay of an 8,000-GPU project proves that even the largest tech giants must eventually reckon with the rights of the individuals whose work powers their machines.

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