Cloud Computing News reported that Nscale’s November 5, 2026, correction removed wording that Microsoft held an option for 700 MW of additional capacity, while retaining a separate statement that the campus could potentially scale to 700 MW. One statement concerned a Microsoft option; the other described the campus’s potential scale.
For this story, a contract option and a campus’s potential capacity are separate claims.
What oversight practices were reported
MLQ relayed Bloomberg’s account that Microsoft held weekly capacity meetings to assess whether neocloud providers’ timelines were credible. The same account said Microsoft sent personnel to a Nebius site in New Jersey after a reported $1 million fine over generator operation without permits.
The scope of the reported review
Cloud Computing News described Microsoft’s review as involving projects connected to Nebius, IREN, and Nscale. It also reported that IREN postponed some deliveries after Microsoft requested network-design changes. The account described Microsoft’s infrastructure strategy as spanning company-owned data centers, leased facilities, and external partners.
