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

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This story was selected and curated by our editorial team in the AI (artificial intelligence) category. Published on October 18, 2026 • Originally reported by Gwyn Topham. OMEGAZEPRIME provides independent news coverage and analysis for our readers. Stay informed with the latest developments.

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 about power supplies.

The development by the British company Nscale, heralded by ministers as the country’s largest AI datacentre when it was announced in 2025, was planned to open at Loughton in Essex next year.

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