Microsoft tightens data center oversight, weighs new neocloud deals
Sources report Microsoft is tightening oversight of some data center projects, stepping away from those it deems risky, and debating whether to sign new neocloud deals. The move follows Microsoft's earlier role in creating the neocloud boom through tens of billions of dollars in contracts with upstart data center operators.
Coverage timeline
Techmeme
Brody Ford / Bloomberg : Sources: Microsoft is tightening oversight of some data center projects, stepping away from those it deems risky, and debating whether to ink new neocloud deals — Microsoft Corp. helped create the “neocloud” boom, signing tens of billions of dollars in contracts with upstart data center operators …

Related stories
Microsoft cancels Nscale anchor-tenant deal for 23K Nvidia chips at delayed Essex data center
Microsoft has cancelled its anchor-tenant agreement with Nscale to rent 23,000 Nvidia AI chips at a planned data center in Essex, UK, which had faced repeated delays. The move threatens Nscale's multibillion-dollar listing plans, according to The Telegraph.
1 reports · 1 sources
Industry execs expect only 7-10 of hundreds of neoclouds to survive; Nvidia offers credit, site help, $20B leases
The Information reports that industry executives expect only 7-10 of hundreds of neoclouds to survive, citing market and Nvidia support limits. Nvidia is backing these providers with easier credit terms, site finding assistance, and $20 billion in leases.
1 reports · 1 sources
OpenAI pledges to avoid NDAs, cut power use in data center deals after Democrats' midterm wins
Bloomberg reports that OpenAI has pledged to change its data center deal practices, including avoiding nondisclosure agreements and reducing power usage, following Democrats' midterm election wins. The company also said it will ensure residents do not pay for the electricity used by its data centers.
1 reports · 1 sources
Sources: Fluidstack neocloud valued at $40B in new round, up from $18B in September
Bloomberg reports that Situational Awareness is pitching its clients to invest in neocloud startup Fluidstack in a funding round that values the company at $40 billion, up from $18 billion in September. The move comes just three months after the previous valuation.
1 reports · 1 sources
News updates every hour. Subscribe in your RSS reader to get new stories automatically.
Subscribe