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Microsoft exits data center deal with Nscale: report

Microsoft terminated its agreement with British cloud provider Nscale for a data center in Loughton, Essex, according to a report on October 18.

The report cited repeated project delays and said grid officials did not expect a power supply until the 2030s, but it did not say why Microsoft withdrew.

Nscale, a UK-based cloud and AI infrastructure provider, said its relationship with Microsoft remained strong and long term, and that the London-wide grid issue did not affect its other contracts.

The company said it remained committed to Loughton while exploring alternative power sources. Microsoft declined to comment.

Nscale filed for a US IPO last month. Its prospectus said Microsoft and Anthropic were expected to be major customers.

The company previously announced plans to invest 2 billion pounds (US$2.66 billion) in the UK data center industry, though the cited material does not specify Loughton’s share.

🔗 Source: Reuters

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