By abrahamks
Publication Date: 2026-10-22 08:03:00
Microsoft has withdrawn from Nscale’s planned Essex data centre deal as the project faces electricity supply delays extending into the 2030s.
Microsoft has withdrawn from its agreement for Nscale’s planned data centre in Loughton, Essex, The Telegraph reported on 18 October 2026. The British AI infrastructure company had secured Microsoft as its only publicly announced customer for the facility. Microsoft had agreed to rent approximately 23,000 Nvidia AI chips.
The site was originally expected to begin operating in 2027. It has faced repeated delays. According to the newspaper, grid officials told Nscale that electricity supply was not expected until the 2030s.
The withdrawal comes as Nscale seeks to raise billions through a stock market listing. Microsoft accounts for more than 40% of its US$103 billion in contracted revenue. The Telegraph reported that the UK agreement represented a small proportion of that business.
Microsoft’s…
