Microsoft (MSFT, Financial) has reportedly paused or scaled back progress on several data center developments globally, according to a Bloomberg report citing sources familiar with the matter.

Projects in North Dakota, Wisconsin, Illinois, as well as in the U.K., Australia, and Indonesia have either seen discussions halted or timelines delayed, the report said. The reasons behind the changes remain unclear, with potential causes ranging from construction challenges to shifts in demand.

Despite the reported slowdowns, A company spokesperson said Microsoft's plan to spend over $80 billion this year is still on course, emphasizing the company's need to adapt as artificial intelligence workloads drive evolving infrastructure demands.

“We plan our datacenter capacity years ahead to ensure coverage aligns with customer needs,” the spokesperson said, noting that adjustments reflect the flexibility of the company's strategy.

Earlier this year, analysts at TD Cowen said Microsoft had canceled leases totaling several hundred megawatts across the U.S., involving at least two private data center operators. The firm also noted a reduction in lease conversions and a shift of international investment to domestic projects.

In an updated March report, TD Cowen said Microsoft had withdrawn from projects that would have consumed over two gigawatts of electricity across the U.S. and Europe in the past six months.