Microsoft Expands AI Infrastructure with New Michigan Data Center
Microsoft (MSFT) is doubling down on AI infrastructure with plans for a new 237-acre data center in Lowell Township, Michigan. This expansion comes as part of the company's $80 billion commitment to AI-related infrastructure through fiscal 2026, signaling data centers as the backbone of its growth strategy.
CEO Satya Nadella revealed during the Q1 fiscal 2026 earnings call that Microsoft operates the largest data center fleet for the AI era, with capacity growing at unprecedented rates. The company expects AI capacity to increase by over 80% this year, with plans to double its overall data center footprint within two years.
The Edge AI and Azure Cloud Computing platforms have become significant growth drivers, contributing to Microsoft's $78 billion quarterly revenue and 40% growth in Azure services. Recent moves include onboarding Osmos to strengthen its AI offerings and appointing a new communications lead for Xbox.
