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Microsoft reportedly pulls back on its data center plans | TechCrunch

Microsoft reportedly pulls back on its data center plans | TechCrunch

Microsoft has Return to the data center project Bloomberg reported that around the world, the company is cautiously expanding its cloud computing infrastructure too quickly.

According to Bloomberg, Microsoft has stopped negotiations on development locations for data centers in the UK, Australia, North Dakota, Wisconsin and Illinois. A spokesperson told the publication that Microsoft had planned ahead of schedule and the changes demonstrated “flexibility” [its] strategy. ”

As Recently as FebruaryMicrosoft reiterates Earlier plan In 2025, mainly AI data centers, allocating more than $80 billion in cash to capital expenditures. As Bloomberg noted in its article, it is difficult to know that the company’s recent pullback reflects expectations for reduced demand versus temporary construction challenges such as shortages of electricity and building materials.

Microsoft has previously said it will shift its 2025 data center expansion focus from new structures to existing facilities using servers and other computing devices.

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