Microsoft has unveiled plans to construct a new Fairwater AI data center, declared to be the “world’s most powerful,” with operations set to commence in early 2026. Located in Wisconsin, this $3.3 billion venture will occupy the site of Foxconn’s previously unsuccessful LCD manufacturing facility, which faced criticism shortly after its announcement in 2017 and was labeled a “boondoggle” by late 2018.
The data center will span a vast 1.2 million square feet across three separate buildings situated on 315 acres. It will feature “hundreds of thousands” of Nvidia’s GB200 GPUs, reportedly linked by enough fiber optic cables to encircle the globe 4.5 times, as noted by Satya Nadella. This powerful array is said to outperform the fastest supercomputer by a factor of ten, significantly enhancing Microsoft’s AI training capabilities. Additionally, Microsoft is in the process of constructing several other Fairwater data centers across the United States.
In its announcement, Microsoft emphasized the environmentally sustainable design of the new facility. The closed-loop cooling system is engineered to minimize water waste, requiring only a single fill-up before being sealed to prevent evaporation. Microsoft’s vice chair and president highlighted the importance of sustainability initiatives associated with the project, a crucial factor given the substantial energy demands typically associated with AI technology.