In a surprising move, Microsoft is reportedly reducing its data center footprint by canceling leases with several data center providers that together amount to a "couple hundred megawatts" of capacity - roughly equivalent to two full data centers.
he reason behind Microsoft's decision remains unclear, prompting industry observers to speculate whether the tech giant is resetting its expectations for future AI demand. This comes as a contrast to broader industry trends: while Microsoft appears to be scaling back, other major players are significantly expanding their data center investments.
Earlier in January, incoming President Donald Trump announced a $20 billion data center funding initiative led by Emirati billionaire Hussain Sajwani. Shortly after, OpenAI, Oracle, and SoftBank unveiled project Stargate—a bold plan to channel up to $500 billion into data center infrastructure for AI applications.
Microsoft's lease cancellations suggest a more cautious approach to AI infrastructure expansion, potentially reflecting shifting priorities or revised projections on the growth of AI workloads. As the debate over future AI demand intensifies, analysts will be watching closely to see whether Microsoft's decision signals a broader trend or is an isolated strategic adjustment.
The company has not provided additional commentary on the lease cancellations, leaving the market to interpret the implications. Meanwhile, with competitors forging ahead with substantial data center investments, the contrasting strategies underscore the uncertainty and dynamic nature of the rapidly evolving AI landscape.
US Senators Elizabeth Warren and Ron Wyden are pressing Google and Microsoft for details on their AI partnerships, raising concerns that such deals may stifle competition, breach antitrust laws, and limit innovation in the fast-growing AI sector.
Microsoft is working on a new generation of in-house artificial intelligence reasoning models designed to rival those from OpenAI, according to a report by The Information.
In a major update to its AI assistant platform, Microsoft announced today that it will offer unlimited free access to two of Copilot’s advanced features—Voice and Think Deeper—powered by OpenAI’s o1 model.
Feb 19 (Reuters) - Microsoft, opens new tab has developed an artificial intelligence model of a videogame which can help generate visuals and actions, the company announced on Wednesday.
The new U.S. ambassador to Japan has called for closer military coordination with Tokyo, framing the alliance as crucial amid rising regional tensions and ongoing trade disputes.
Students in Serbia have rallied outside a police station as Belgrade University’s rector is questioned over support for anti-government protests.
OpenAI has unveiled a new option called Flex processing, an API service designed to provide more affordable AI model usage in exchange for slower response times and occasional resource unavailability.
The Russian rouble surged past 81 to the U.S. dollar on Thursday, marking a 40% increase since the beginning of 2025.
In response to President Donald Trump's sweeping new tariffs, a number of global companies are eyeing expansion into the United States to minimize the economic fallout from the trade measures.
The Russian ruble has emerged as the top-performing currency globally in 2025, registering an impressive 38% appreciation against the US dollar since the beginning of the year, according to a report by Bloomberg.
A small plane crashed near Kopake, New York, on April 13, killing at 6 people. The Mitsubishi MU-2B aircraft, carrying six people, went down under unclear circumstances. This marks the second aviation accident in New York in a week, raising safety concerns.
Several regions in Ukraine faced heightened alert on Palm Sunday, as reports of explosions and missile threats drew public attention and official responses.
Start your day informed with AnewZ Morning Brief: here are the top news stories for April 16th, covering the latest developments you need to know.
Severe rainfall on April 17 led to flooding and landslides in the Piedmont region, prompting a large-scale emergency response from over 400 firefighters.
OpenAI has unveiled a new option called Flex processing, an API service designed to provide more affordable AI model usage in exchange for slower response times and occasional resource unavailability.
A rare red meat allergy known as alpha-gal syndrome is drawing new attention as researchers link it not only to the lone star tick but also to other U.S. tick species, raising concerns about growing risks and underdiagnosis.
Scientists using the James Webb Telescope have detected potential biosignatures, gases linked to life, on exoplanet K2-18 b, marking a major step in the search for extraterrestrial life. While not confirmed, the findings offer a strong "maybe".
China is set to embed artificial intelligence (AI) into its entire education system from primary to higher education as part of a national effort to modernize learning, boost innovation, and build a skilled, future-ready workforce.
A former Meta executive, Sarah Wynn-Williams, testified before U.S. senators on Wednesday, alleging that the company compromised national security to build a lucrative business in China.
The new U.S. ambassador to Japan has called for closer military coordination with Tokyo, framing the alliance as crucial amid rising regional tensions and ongoing trade disputes.
Students in Serbia have rallied outside a police station as Belgrade University’s rector is questioned over support for anti-government protests.
OpenAI has unveiled a new option called Flex processing, an API service designed to provide more affordable AI model usage in exchange for slower response times and occasional resource unavailability.
The Russian rouble surged past 81 to the U.S. dollar on Thursday, marking a 40% increase since the beginning of 2025.
In response to President Donald Trump's sweeping new tariffs, a number of global companies are eyeing expansion into the United States to minimize the economic fallout from the trade measures.
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