Investment bank claims software giant ditched 'at least' 5 land parcels due to potential 'oversupply' Microsoft has reportedly cancelled leases on datacenter capacity in the US, raising questions about whether the company may have overestimated demand for AI services and the compute power it needs to drive them.

Skepticism has been growing among investors over the billions of dollars U.S. tech firms have been channeling into AI infrastructure due to slow payoffs and breakthroughs at Chinese startup DeepSeek,

An analyst note flagging a possible slowdown by Microsoft in leasing data center capacity grabbed the market's attention on Monday, lending credence to skepticism among investors worried that the AI-led stock-market boom might be running out of steam.