A week ago, analyst TD Cowen revealed that Microsoft had canceled leases "totalling a couple hundred MWs," with "at least two private data center operators across multiple US markets." The report also details how Microsoft "pulled back on converting negotiated and signed Statement[s] of Qualifications (SQQs)," which it added
Unfortunately I think most businesses will still prefer that their AI solution is hosted by a company like OpenAI rather than maintaining their own. There’s still going to be a need for these large data centers, but I do hope most people realize that hosting your own LLM isn’t that difficult, and it doesn’t cost you your privacy.
Unfortunately I think most businesses will still prefer that their AI solution is hosted by a company like OpenAI rather than maintaining their own. There’s still going to be a need for these large data centers, but I do hope most people realize that hosting your own LLM isn’t that difficult, and it doesn’t cost you your privacy.