Microsoft Newport Wales: £2.5B 200MW AI Data Centre
Status: Under Construction / Fit-out (March 2026) | Location: Newport, Wales
Project Overview
Project Manganese represents a cornerstone investment by Microsoft in advancing the United Kingdom’s sovereign AI infrastructure, with a particular focus on regional economic transformation in Newport. As part of a broader £2.5 billion UK AI investment strategy, the project involves the redevelopment of the former Quinn Radiators factory site, positioning it as a flagship example of large-scale brownfield data center development. By repurposing an existing industrial facility within Imperial Park, Microsoft minimizes land-use change and accelerates deployment timelines while aligning with sustainability goals tied to reduced embodied carbon and infrastructure reuse.
Technically, Project Manganese is engineered to support next-generation AI workloads, with a design philosophy centered on high-density compute environments. As of March 2026, the structural shell of the primary facility has been completed, with ongoing installation of advanced liquid-cooling systems tailored for NVIDIA Blackwell-class GPU clusters. This cooling approach is critical for managing the thermal intensity of modern AI accelerators, enabling higher rack densities and improved energy efficiency compared to traditional air-cooled systems.
To meet the substantial power requirements of the campus, Microsoft has secured a direct connection to a nearby high-voltage substation, ensuring reliable, scalable electricity delivery. In parallel, the company is partnering with regional renewable energy initiatives across Wales to achieve 100% renewable energy matching, reinforcing its broader sustainability commitments while supporting the local clean energy ecosystem.
Quick Facts
| Field | Value |
|---|
| Project Name | Microsoft Newport Wales: £2.5B 200MW AI Data Centre |
| Location | Newport, Wales |
| Status | Under Construction / Fit-out (March 2026) |
| Commissioning | Phase 1 Online: Q4 2026; Full Scale: 2028 |
| Total IT Load | ~200 MW (Initial masterplan capacity) |
| Total Capacity | 2 Major Hyperscale Buildings (~600,000 Sq. Ft.) |
| Tier Level | Tier III+ (Hyperscale AI Infrastructure) |
| Project Type | National AI Infrastructure & Sovereign Cloud Node |
City Profile
| Header | Details |
|---|
| City Name | Newport |
| Population | ~160,000 |
| Urban Agglomeration | ~310,000 (Newport urban area & surrounding South Wales region) |
| City GDP | ~USD 6–8 billion |
| Per Capita Income | ~USD 38,000–42,000 |
| City Tier | Tier 2 (Established regional city with strong industrial and logistics base) |
| Key Strengths | Strategic location within South Wales Industrial Corridor; strong manufacturing and semiconductor ecosystem (notably compound semiconductors); proximity to Cardiff and Bristol; logistics and port infrastructure; growing data center and digital infrastructure potential; skilled technical workforce |
Companies Involved
| Header | Details |
|---|
| Developer / Operator | Microsoft |
| Strategic Infrastructure Partner | National Grid / Welsh Water (Dŵr Cymru). |
| Construction Contractor | Mace / ISG / Local Welsh trade partners. |
| MEP Engineering | Microsoft Global Infrastructure Engineering. |
| Network Connectivity | Linked to the South Wales fiber spine and London-Bristol routes. |
| Power Infrastructure | 200 MW dedicated capacity; On-site BESS (Battery Storage). |
Technical Specifications
| Header | Details |
|---|
| Power Capacity | 200 MW |
| UPS Redundancy | $N+1$ with integrated grid-stabilizing battery systems. |
| Cooling System | Hybrid Air & Closed-Loop Liquid Cooling. |
| Connectivity | Strategic Western UK node for Azure OpenAI and Copilot. |
| PUE Target | < 1.15 |
| Energy Mix | 100% Renewable matching via Welsh Wind/Solar PPAs. |
Milestones
| Header | Details |
|---|
| Announcement | November 2023 |
| Construction Start | Early 2025 |
| Phase 1 Go-Live | Expected Late 2026 |
| Full Buildout | 2028 |
Investment Details
| Header | Details |
|---|
| Total Investment | £2.5 Billion |
| Funding | Microsoft Corporation Capital Expenditure. |