Microsoft Transforms Vacant Foxconn Buildings into World's Most Powerful AI Data Center

Microsoft has unveiled plans to launch its Fairwater AI data center in early 2026, describing it as the most powerful facility of its kind worldwide. The $3.3 billion Wisconsin project occupies the location originally intended for a Foxconn LCD factory—a venture announced in 2017 that was widely criticized as a wasteful failure by 2018.
Spanning 1.2 million square feet across three buildings on a 315-acre site, the new data center is exceptionally large. According to Satya Nadella, it houses "hundreds of thousands" of Nvidia GB200 GPUs, linked by fiber-optic cables that, if laid end to end, would wrap around the Earth 4.5 times. Microsoft states that this network of GPUs delivers ten times the performance of the fastest supercomputer available, dramatically accelerating the company's AI training initiatives. Additional Fairwater data centers are reportedly under construction at various U.S. locations.
Microsoft also highlights the facility’s eco-friendly design, which incorporates a closed-loop cooling system to minimize water usage. Once filled, the system remains sealed to prevent evaporation. During the project announcement, the company’s vice chair and president emphasized Microsoft’s commitment to sustainability—a crucial point given the well-known high energy demands of AI infrastructure.
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Microsoft has unveiled plans to launch its Fairwater AI data center in early 2026, describing it as the most powerful facility of its kind worldwide. The $3.3 billion Wisconsin project occupies the location originally intended for a Foxconn LCD factory—a venture announced in 2017 that was widely criticized as a wasteful failure by 2018.
Spanning 1.2 million square feet across three buildings on a 315-acre site, the new data center is exceptionally large. According to Satya Nadella, it houses "hundreds of thousands" of Nvidia GB200 GPUs, linked by fiber-optic cables that, if laid end to end, would wrap around the Earth 4.5 times. Microsoft states that this network of GPUs delivers ten times the performance of the fastest supercomputer available, dramatically accelerating the company's AI training initiatives. Additional Fairwater data centers are reportedly under construction at various U.S. locations.
Microsoft also highlights the facility’s eco-friendly design, which incorporates a closed-loop cooling system to minimize water usage. Once filled, the system remains sealed to prevent evaporation. During the project announcement, the company’s vice chair and president emphasized Microsoft’s commitment to sustainability—a crucial point given the well-known high energy demands of AI infrastructure.
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