By FP Tech Desk
Publication Date: 2026-10-18 12:53:00
Microsoft’s reported withdrawal from Nscale’s proposed Essex data center deal adds uncertainty to the British cloud provider’s expansion plans as it prepares for a potential US IPO.
Microsoft has pulled out of a data center deal with British cloud provider Nscale, according to a report by The Telegraph on Sunday. The US tech giant, one of Nscale’s two largest customers, recently terminated its agreement for a data center in Loughton, Essex, according to the report.
The reason for Microsoft’s decision to pull out of the deal has not been revealed. Its departure comes as Nscale approaches a potential initial public offering (IPO) in the US, with Microsoft and Anthropic expected to be among its major customers. The agreement reportedly involved Nscale’s proposed data center in Loughton, Essex, where Microsoft was expected to become the anchor tenant.
The deal, which is now in limbo, had already faced delays and difficulties in securing electricity supplies….
