Microsoft Adjusts Global Data Center Plans While Reaffirming $80 Billion AI Investment

The company has canceled or delayed projects in multiple regions, citing construction and power issues, while emphasizing flexibility to adapt to AI demand.

Microsoft has recently canceled or delayed data center projects in Indonesia, Australia, the U.K., and several U.S. states, including Illinois and Wisconsin.
The company has stepped back from leasing negotiations for sites in the U.K. and near Chicago that would have hosted Nvidia chips.
Construction and power issues, as well as shifting demand forecasts, are cited as reasons for the project adjustments.
Despite these changes, Microsoft remains committed to its $80 billion investment in AI-enabled data centers for fiscal year 2025, ending June 30.
Analysts remain uncertain whether these delays are temporary or indicative of a longer-term strategic shift in Microsoft's AI infrastructure plans.