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Chips and compute

Microsoft pulls out of AI datacentre project in Essex over power supply concerns.

Guardian AIAnalysis or commentary·
AI brief

Microsoft has pulled out of a large AI datacentre project in Essex developed by UK firm Nscale, which ministers had called the largest of its kind in the country, over concerns about power supply.

Why it matters: The project loses its anchor tenant, a setback for a development the UK government had promoted.

Written by AI from Guardian AI's published text.

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“Development by UK firm Nscale heralded by ministers as largest of its kind in country loses anchor tenant The development of a huge AI datacentre hailed by the UK government has received a fresh setback after Microsoft pulled out of the project over concerns…”
Guardian AI, 18 Oct 2026, 12:28.

Interpretation or community commentary rather than straight reporting.

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