(Bloomberg) – Microsoft Corporation (MSFT) has begun to cancel leases for large U.S. data center capacity, a move that could reflect concerns about building AI computing for a long time, in the long run. In the report.
Most of them come from Bloomberg
The U.S. brokerage wrote on Friday that Openai’s largest supporters were invalid in “hundreds of megawatts of capacity” and had channel checks or inquiries for supply chain providers in total. TD Cowen said Microsoft also stopped converting so-called qualification statements, which are agreements that usually lead to formal leases. The broker wrote that it was a tactical rival, such as Meta Platforms Inc., which was previously hired when it decided to cut capital expenditures.
Closing: February 21 4:00:01 ET
Microsoft’s pullback on spending and data center construction raises questions about whether the company, one of the big tech leaders in AI, is cautious about the prospects for demand. The company said it expects to spend $80 billion on AI data centers this fiscal year, and in a late January earnings call, CEO Satya Nadella said Microsoft must maintain it Spend to meet “exponential demand.”
Microsoft reiterated its spending target for the fiscal year ending June in a statement Monday, but declined to comment on TD Cowen’s notes.
“While we can do strategic pace or adjust infrastructure in certain regions, we will continue to grow in all regions,” a company spokesperson said in a statement. “We plan to spend more than 80B of infrastructure on infrastructure,” a company spokesperson said. facilities as we continue to grow at a record rate to meet customer needs.”
Critics have been pointing out that even though Microsoft, Meta, and Amazon.com Inc. have committed to spending billions of dollars on data centers needed to train, develop and host AI services, critics have always pointed out that AI is practical and real-world applications .
Wall Street raised questions about large-scale spending as Chinese upstart DeepSeek released a new open source AI model that claims to compete for the capabilities of U.S. technology at a fraction of the cost.
TD Cowen analyst Michael Elias, Cooper, our initial reaction was “We have not checked the color levels through the channel we want this to happen. Belanger and Gregory Williams wrote, emphasizing that this is just their explanation.
