Microsoft Reportedly Withdraws as Nscale Anchor Tenant Ahead of IPO

Microsoft has reportedly withdrawn as anchor tenant for Nscale’s planned 90-megawatt data center in Loughton, Essex, where it had planned to deploy 23,000 Nvidia AI chips. The project’s key obstacle is a delayed grid connection: power may not be available until the early to mid-2030s, far later than the site’s planned opening. Nscale says it remains committed to Loughton and is exploring alternative power sources, but the loss of a major customer adds uncertainty as it pursues a New York Stock Exchange IPO. The departure also raises questions about Nscale’s large reported contract backlog, which includes substantial commitments from Microsoft, and how much of that pipeline can become operating, powered facilities.