Microsoft has entered into a significant agreement with British AI data center startup Nscale to acquire approximately 200,000 of Nvidia's latest AI chips. The deal, valued at up to $14 billion, is one of the largest AI infrastructure contracts ever signed and will see Nscale build a new AI data center for Microsoft in Texas. This facility will be equipped with around 104,000 Nvidia GB300 chips and is expected to be operational in the third quarter of 2026. The agreement is part of a broader expansion of their partnership, which includes delivering the UK's largest AI supercomputer. This move underscores Microsoft's aggressive strategy to expand its computing resources to meet the surging global demand for artificial intelligence.