Microsoft Freezes Data Center Projects in US and Overseas Markets
April 3 – Microsoft (NASDAQ:MSFT) has paused several global data center projects, according to Bloomberg report. The firm is slowing development in North Dakota, Wisconsin, Illinois, the U.K., Australia, and Indonesia.
The slowdown comes amid uncertainty whether weakening demand or construction challenges are behind the decision. Sources familiar with the situation indicate that talks have been halted or delayed at multiple sites, adding to growing market speculation.
The analysts from TD Cowen announced in February that Microsoft terminated a substantial number of U.S. leases for power, amounting to several hundred megawatts with two major data center operators. A subsequent report by TD Cowen revealed that Microsoft had abandoned projects above 2 gigawatts of power utilization within the U.S. and European markets over the previous half-year. The strategic change becomes apparent through Microsoft’s decision to redirect foreign project investments toward American initiatives.
Microsoft did not respond to requests for comment, but investors should monitor evolving market signals and what it could mean for future growth.
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Microsoft Freezes Data Center Projects in US and Overseas Markets, source
