Microsoft Revamps Foxconn Site into World’s Most Powerful AI Data Center

Microsoft is turning Foxconn’s empty buildings into the ‘world’s most powerful’ AI data center
The Verge

Key Points

  • Microsoft’s Fairwater AI data center will open in early 2026.
  • Located at the former Foxconn LCD factory in Wisconsin.
  • Project cost is $3.3 billion and covers 1.2 million square feet.
  • Hosts "hundreds of thousands" of Nvidia GB200 GPUs.
  • Fiber network capacity described as enough to circle the Earth 4.5 times.
  • Claims ten‑times more processing power than the fastest supercomputer.
  • Features a closed‑loop cooling system to minimize water waste.
  • Part of a broader U.S. rollout of Fairwater AI data centers.

Microsoft announced its Fairwater AI data center, touted as the world’s most powerful, will open in early 2026 at the former Foxconn LCD factory in Wisconsin. The $3.3 billion project spans 1.2 million square feet across three buildings on 315 acres and houses “hundreds of thousands” of Nvidia GB200 GPUs linked by massive fiber capacity. Microsoft says the cluster is ten‑times more powerful than the fastest supercomputer. A closed‑loop cooling system is highlighted as a sustainable feature, aiming to minimize water waste while powering massive AI training workloads.

Project Overview

Microsoft revealed its plans for the Fairwater AI data center, describing it as the "world’s most powerful" AI facility. The data center is slated to become operational in early 2026 and is built on the site of Foxconn’s abandoned LCD manufacturing complex in Wisconsin. The $3.3 billion construction effort repurposes the three‑building, 1.2 million‑square‑foot complex that sits on 315 acres of land.

Technical Scale

The core of the facility consists of “hundreds of thousands” of Nvidia GB200 graphics processing units. According to Microsoft leadership, these GPUs are interconnected with fiber infrastructure sufficient to “circle the Earth 4.5 times,” creating an unprecedented data‑transfer capacity. The company claims the combined processing power of the cluster is ten‑times more powerful than the fastest existing supercomputer, dramatically accelerating AI model training and inference workloads.

Environmental Design

Microsoft emphasized the data center’s sustainability features, notably a closed‑loop cooling system. This system is filled once and then sealed, eliminating evaporation and dramatically reducing water waste. The design aligns with Microsoft’s broader commitment to curbing the high energy consumption traditionally associated with large‑scale AI operations.

Strategic Implications

By converting the underutilized Foxconn property into a cutting‑edge AI hub, Microsoft aims to both revitalize a previously stalled development and secure a strategic foothold in the rapidly expanding AI infrastructure market. The project underscores Microsoft’s intent to lead in AI research and cloud services while addressing environmental concerns.

Future Plans

Microsoft indicated that additional Fairwater data centers are under construction across the United States, signaling a broader rollout of similarly powerful AI facilities. The company’s leadership, including its vice chair and president, highlighted the importance of the Wisconsin site as a model for future sustainable, high‑performance AI infrastructure.

#Microsoft#Foxconn#AI data center#Fairwater#Nvidia#GB200 GPUs#sustainability#cloud computing#supercomputer#technology infrastructure
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