Microsoft has terminated its role in the Loughton, Essex data centre where it had agreed to fund a supercomputer, the BBC understands.
The big picture: Nscale pledged £2bn last year to build what would be the largest AI data centre in the UK, with Microsoft funding the supercomputer inside it. Microsoft has now ended that involvement and declined to comment.
By the numbers: The site was designed to deliver 50MW of AI capacity and scale to 90MW, and to open with 23,040 Nvidia GPUs.
- For scale, the fastest supercomputer in the US draws roughly 30MW at peak, Lightbringer chief Dominic Davies told the BBC, putting 90MW at nearly three times that level.
Zoom in: Nscale said it remains committed to Loughton and to the UK, and that it is "exploring alternative power sources for the site, in addition to other expansion sites in the UK."
- The company added that its relationship with Microsoft "remains strong and long-term" on their projects overseas.
Between the lines: Power is the binding constraint. UK electricity prices sit above historical norms, and Google has said its 2023 greenhouse gas emissions ran 48% higher than 2019 on the energy its AI centres consume.
Why it matters: Prime Minister Keir Starmer has staked UK growth on becoming an AI leader, and the flagship compute project just lost its anchor tenant while investors question how much AI infrastructure gets financed.
What's next: Nscale has to find a replacement for the supercomputer funding and a power contract before Loughton can open at the promised scale.
