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Microsoft exits Nscale UK AI data center deal over power grid delays
Microsoft has withdrawn from its agreement to be the anchor tenant for Nscale’s planned AI data center in Loughton, Essex. The facility, which was intended to house over 23,000 Nvidia GB300 GPUs, faced significant delays due to power grid constraints. Reports indicate that UK Power Networks may not be able to provide sufficient electricity to the site until the early to mid-2030s.
The withdrawal comes at a critical time for Nscale, which is preparing for an initial public offering (IPO) on the New York Stock Exchange. The company is reportedly targeting a $35 billion valuation and aims to raise up to $3 billion. Microsoft and Anthropic together account for approximately 85% of Nscale’s compute contracts, making the loss of Microsoft a significant blow to its commercial outlook.
Nscale has stated that it remains committed to the Loughton project and is exploring alternative power sources. The company also emphasized that its relationship with Microsoft remains strong and long-term, noting that the grid issue is localized to the London area and does not affect other ongoing partnerships, including projects in Norway, Portugal, and the United States.
Entities
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 3 SOURCES] Nscale has a contracted backlog of $103.4 billion. cryptobriefing.com · www.newsbytesapp.com · www.blockmedia.co.kr
- [● 8 SOURCES] Nscale is exploring alternative power sources for the Loughton site. cryptobriefing.com · www.newsbytesapp.com · thenextweb.com · www.singtaousa.com · www.brasilemfolhas.com.br · +3 more
- [● 6 SOURCES] Nscale’s flagship facility in Glomfjord, Norway, is currently operating 6.4 MW of a planned 30 MW. cryptobriefing.com · thenextweb.com · www.brasilemfolhas.com.br · www.mononews.gr · world-today-journal.com · +1 more
- [○ 1 SOURCE] Microsoft accounted for approximately $43.8 billion of Nscale’s contracted backlog. cryptobriefing.com
- [● 16 SOURCES] Nscale is targeting a $35 billion valuation in its upcoming NYSE listing. cryptobriefing.com · www.singtaousa.com · www.theguardian.com · www.brasilemfolhas.com.br · www.electronicsweekly.com · +11 more
- [● 18 SOURCES] Nscale maintains that its relationship with Microsoft remains strong and long-term. cryptobriefing.com · www.newsbytesapp.com · thenextweb.com · www.singtaousa.com · www.brasilemfolhas.com.br · +13 more
- [● 4 SOURCES] Anthropic agreed to spend $45 billion on Nscale compute over six years. thenextweb.com · world-today-journal.com · www.world-today-news.com · www.electronicsweekly.com
- [● 28 SOURCES] UK Power Networks will not be able to supply sufficient power to the Loughton site until the early to mid-2030s. cryptobriefing.com · www.singtaousa.com · www.brasilemfolhas.com.br · influencermagazine.uk · www.newsbytesapp.com · +23 more
- [● 6 SOURCES] Microsoft and Anthropic together account for approximately 85% of Nscale’s compute contracts. www.brasilemfolhas.com.br · www.world-today-news.com · thenextweb.com · world-today-journal.com · www.mononews.gr · +1 more
- [● 8 SOURCES] Nscale aims to raise up to $3 billion through its initial public offering. www.brasilemfolhas.com.br · cryptobriefing.com · www.mononews.gr · www.world-today-news.com · thenextweb.com · +3 more
- [● 32 SOURCES] Microsoft has terminated its agreement for a data center facility in Loughton, Essex. www.singtaousa.com · www.brasilemfolhas.com.br · influencermagazine.uk · cryptobriefing.com · www.mononews.gr · +27 more