Tech giant Microsoft (NASDAQ:MSFT) has withdrawn from its data centre partnership with UK cloud firm Nscale, as the company prepares for an initial public offering (IPO) on the New York Stock Exchange (NYSE).
Microsoft was set to be the anchor tenant of Nscale’s first UK data centre. The reason for its withdrawal has not been specified.
Nscale is planning to build the UK’s largest AI data centre and supercomputer campus in Loughton, Essex. The company intends to invest around £2 billion ($3.8 billion) to build a facility with a capacity of 50 megawatts (MW), scalable to 90MW, featuring direct-liquid cooling and 23,000 Nvidia chips.
The project has faced significant power supply delays, with local authorities indicating that power may not be available until the 2030s.
Nscale’s flagship project in Norway is about six months behind schedule, with only 6.4MW of its planned 30MW capacity in operation.
Shanghai Metals Market (SMM) reports that about 85% of Nscale’s contracts rely on Microsoft and Anthropic (NYSE:ANTW), per its IPO filing.
Nscale is building the advanced infrastructure, systems, and solutions that enable practitioners, enterprises, and governments worldwide to create, deploy, and scale their most transformative AI systems.
Write to Aaliyah Rogan at Mining.com.au
Main image: Nscale
