Microsoft Cancels AI Data Center Leases, TD Cowen Says. Analysts Not Concerned Just Yet. - Barron's
1. Microsoft cancels data center leases, scaling back spending. Analysts note potential oversupply. 2. At least two U.S. data center operators affected, totaling a few hundred megawatts. Lease conversion slowed. 3. Executives deny a shift in AI strategy. Forecast adjustments continue amid conflicting analyst opinions. 4. Guidance indicates capital expenditure growth slowing but still rising YoY. Course correction may be underway.