Nscale, a UK cloud computing company, previously sought to go public at a valuation of approximately $30 billion, but investors believe $16 billion to $19 billion is more reasonable, representing a valuation cut of over 40%, Bloomberg reported. Meanwhile, Reuters, citing The Telegraph, reported that Microsoft has terminated its cooperation agreement with Nscale for the Loughton data center campus in Essex, UK, because the site may not secure power until the 2030s at the earliest. Goldman Sachs' credit team attributed this to "AI deals encountering funding costs," with credit markets having already provided an early warning through deteriorating bond prices and credit default swaps. This is the fifth AI data center IPO plan to face setbacks in less than a month, following companies such as SoftBank's SB Energy and Firmus.