Microsoft’s $80 Billion Data Center Strategy Faces Global Retrenchment

INSUBCONTINENT EXCLUSIVE:
Microsoft has scaled back its ambitious global data center expansion, reflecting shifting priorities amid challenges in construction and
evolving demand forecasts.The tech giant had committed $80 billion for fiscal year 2025 to bolster AI and cloud infrastructure, but recent
delays and cancellations reveal a recalibration of its strategy.Projects in Indonesia, the UK, Australia, and United States states like
services, bolstered by its partnership with OpenAI, has driven significant investments in server farms designed to support generative AI
(Photo Internet reproduction)Analysts suggest that anticipated demand from OpenAI may not fully justify the scale of these investments
In Wisconsin, Microsoft spent $262 million on construction but suspended parts of the $3.3 billion project.Meanwhile, North Dakota
discussions dragged on so long that exclusivity clauses expired, allowing other firms to step in
Microsoft remains committed to its $80 billion plan but intends to slow new builds in favor of upgrading existing facilities.This strategic
pivot reflects broader industry trends as companies adapt to emerging AI technologies requiring less computational power than initially
expected
realities.