Microsoft has officially abandoned its plans to build an AI data center in Loughton, Essex. The decision stems from significant concerns regarding power supply delays, which could potentially persist until the 2030s.

The proposed facility was designed to provide 50 megawatts of capacity, with provisions for future expansion. Following the cancellation, the project is currently without its primary anchor client.

Nscale, the developer behind the Loughton site, intends to proceed with the project. The company is actively investigating alternative energy sources and continues to maintain its partnership with Microsoft.

The situation reflects broader infrastructure challenges as tech firms struggle to secure reliable energy for large-scale AI operations. Similar discussions regarding data center moratoriums are currently underway in Oklahoma.