Microsoft has pulled out as anchor tenant at Nscale's planned data centre in Loughton, Essex, ending its agreement for the site billed as the largest "UK sovereign" AI data centre.
The site has been beset by delays. UK Power Networks told Nscale that sufficient grid power would not be available until the early 2030s. Nscale said it remains committed to Loughton and to the United Kingdom, is exploring alternative power sources and other UK sites, and described its relationship with Microsoft as strong and long-term. Microsoft declined to comment.
The withdrawal was first reported by The Telegraph. No specific reason for Microsoft's withdrawal has been given in the reporting.
The move comes as Nscale seeks an initial public offering of up to $3 billion. Its Norway flagship site is running about six months behind schedule.