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Related tickers and likely impact
MSFT
▼ Likely negativeMicrosoft
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Systems Software |
| Market cap | $4.0T |
| Close on 10/16/2026 | 528.95 |
| Change that session | -1.94% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Microsoft exits data centre deal in blow to UK AI ambitions
Microsoft has confirmed it has withdrawn from a deal with British start-up Nscale to lease computing capacity at a planned AI data centre in Loughton, northeast of London, a setback for the UK's AI ambitions. The company said the decision relates to a single site and that it remains committed to its partnership with Nscale. Nscale said it is still committed to the Loughton project and is exploring alternative power sources, after UK media reported the site would not have power until the 2030s due to grid connection delays. Ahead of a planned New York IPO targeting a valuation of up to $35 billion, Nscale said its committed revenue relies heavily on Microsoft and Anthropic. The article also notes that OpenAI earlier withdrew from a UK Stargate partnership, citing high energy costs and regulatory uncertainty.
- Microsoft pulls out of Nscale U . K . data - center deal over power - supply issues
Microsoft has withdrawn from a deal to lease capacity at Nscale's 50-megawatt Loughton data center in the U.K. because of power-supply issues, a setback as Nscale prepares to go public. The facility was to host about 23,000 Nvidia GB300 chips for Microsoft Azure and was expected to go live by the end of this year, but that timeline no longer holds due to challenges with the U.K. power grid. Microsoft says it remains committed to Nscale and that the decision relates to a single site, while Nscale says it is exploring alternative power sources and its relationship with Microsoft remains strong. The article notes that clients can pull out of deals when projects are delayed, threatening revenue. Nscale recently filed for a U.S. IPO and last month raised $3.36 billion through convertible loan notes in a pre-IPO round.
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- Microsoft backs out of Nscale data center deal: What to know
Microsoft has withdrawn from a UK data center deal with neocloud startup Nscale, which had been aiming for a $3 billion IPO as early as late October. The 8:30 hosts Pras Subramanian, Jake Conley and Julie Hyman discuss Microsoft's reasons for pulling out.
- Microsoft Walks Away From Nscale’s UK Data Center as the Grid Runs Out of Power
According to Reuters citing The Telegraph, Microsoft (MSFT) has withdrawn from an AI data center in Loughton, Essex that Nscale was building for it, though no reason was given. Grid officials reportedly told Nscale power would not be available until the 2030s, and Nscale says it remains committed to the site and is exploring other power sources. The site was planned to house about 23,000 Nvidia chips, roughly 11.5% of a program of about 200,000 chips. Meanwhile, Microsoft's cash capex in the June quarter reached $35.80 billion, more than double the year-earlier figure. The article argues the problem is grid timing rather than AI demand, and Microsoft reports results on October 28.
- Microsoft Scraps UK Data Center Deal With Nscale, Telegraph Says
The Telegraph reports that Microsoft has pulled out of a planned data center deal with the British neocloud Nscale at Loughton, Essex, without giving a specific reason. The newspaper said the site has faced a series of delays, and authorities have told Nscale they don't expect a power supply there until the 2030s. Nscale's flagship site in Norway is also six months behind schedule, with only 6.4 megawatts of its intended 30-megawatt data center running. According to an IPO filing, Microsoft and Anthropic account for around 85% of Nscale's contracts, and Microsoft's withdrawal comes as Nscale prepares an IPO seeking up to $3 billion. Nscale says it remains committed to the Loughton project and its relationship with Microsoft is strong, and that the London-wide grid issue has no impact on its other contracts.
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