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Data Center News > Blog > Design > Microsoft to Rent Nscale AI Data Center in Portugal
Design

Microsoft to Rent Nscale AI Data Center in Portugal

Last updated: October 14, 2025 6:49 pm
Published October 14, 2025
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Microsoft to Rent Nscale AI Data Center in Portugal
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(Bloomberg) — Microsoft will lease capability from Nscale at a knowledge middle in Portugal, because the US tech firm expands its computing assets to satisfy rising demand for synthetic intelligence. 

The mission, which can use Nvidia’s newest AI chips, will likely be hosted on the Begin Campus information middle park in Sines, about 150 kilometers (93 miles) south of Lisbon, in keeping with folks acquainted with the matter. It’s scheduled to be operational in early 2026, the folks stated.

Microsoft, together with different huge tech firms, wants to extend its accessible computing capability to satisfy surging use of AI. Confronted with a shortfall, the corporate has lately signed a number of offers with “neocloud” suppliers, which supply high-performance cloud computing as a service, together with Coreweave and Nebius. It has beforehand agreed to lease capability from Nscale in Norway and the UK.

Nscale, a British information middle firm spun out of a crypto miner final 12 months, raised $1.1 billion in September, shortly after it introduced a partnership with Nvidia and OpenAI within the UK. It secured a further $433 million in funding a few days later.

The Nscale mission in Portugal will use 12,600 of Nvidia’s newest chips, the Blackwell Extremely GB300 GPUs, in keeping with the Begin Campus and Nscale assertion.

Associated:International Cloud Market Nears $100B, Neoclouds Surge 200%

Information facilities are power and water intensive. Portugal will get greater than half its energy from renewables, although the AI growth has raised issues that rising demand may pressure its clear power system.

Begin Campus intends to assemble six buildings to host information facilities at its Sines website, and has up to now accomplished one. The corporate estimates that whole funding for the campus, which is majority owned by funding agency Davidson Kempner, alongside infrastructure firm Pioneer Level Companions, will likely be €8.5 billion ($9.8 billion).

See also  Why data centres need to manage energy better

The campus’ operators say the location sources all its electrical energy from renewable sources and makes use of chilly ocean water for cooling to cut back the burden on the world’s scarce freshwater provides. Its backup turbines run on hydro-treated vegetable oil provided by Repsol.

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TAGGED: Center, data, Microsoft, Nscale, Portugal, Rent
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