Microsoft and Amazon have had to cancel several new data centers

data center
(Image credit: Shutterstock)

Proposed new data centers for Amazon and Microsoft in Ireland have been blocked amid concerns surrounding power shortages and supplies.

Amazon had been looking to invest up to €2 billion in a bid to expand its data center operations in Ireland, which has become a key location for data handling facilities due to its proximity to Europe and North America.

However, The Times has now reported that a moratorium on new connections by EirGrid, the country's state-owned electricity system operator, means the move is now on hold, with one planned Amazon Web Services site and two planned Microsoft sites affected.

Data center power

The move comes as Ireland, like much of Europe, worries about its power pipeline due to knock-on effects from the ongoing Ukraine-Russia conflict.

Data centers use up an incredible amount of power, with Ireland’s utilities regulator warning in 2021 that rolling blackouts could soon be likely if issues were not fixed.

No new data centers have been authorized by EirGrid since it issued the moratorium last November, a spokesperson told The Times.

“EirGrid is now applying these criteria to all data center applicants, many of which have decided not to progress their developments,” the spokesperson said. 

Microsoft and Amazon have yet to comment on the news, but the former is apparently now exploring alternative locations in the UK, Spain and Germany, with the latter also reportedly looking to move focus outside of Ireland.

The building of new data centers is becoming a difficult issue across the world due to demands on power infrastructure.

It was recently revealed developers in some parts of London could face a ban on new developments until 2035 due to data centers gobbling up too much of the power grid capacity.

Worries about extreme weather have also emerged in recent weeks after UK data centers belonging to Google Cloud and Oracle were taken out of action by the 40C (104F) heatwave weather. 

  • Want to move your storage away from external data centers? Check out our guide to the best bare metal servers
TOPICS
Mike Moore
Deputy Editor, TechRadar Pro

Mike Moore is Deputy Editor at TechRadar Pro. He has worked as a B2B and B2C tech journalist for nearly a decade, including at one of the UK's leading national newspapers and fellow Future title ITProPortal, and when he's not keeping track of all the latest enterprise and workplace trends, can most likely be found watching, following or taking part in some kind of sport.

Read more
DC01UK data center
Mine's bigger than yours: Mysterious hyperscaler plans to build Europe's largest cloud and AI data center that will suck enough electricity to power 20,000 homes
AI business data center
European data centers are having to delay carbon reduction goals and rethink sustainability plans
Racks of servers inside a data center.
The UK data center Critical National Infrastructure: challenges and opportunities
Data center racks with cables and servers
What data centers should consider to establish more sustainable operations
AI data center
Is Microsoft hesitating on AI? Days after CEO said it would be upping capacity, analyst claims tech giant has actually cancelled data center leases
A person standing in front of a rack of servers inside a data center
Data centers are transforming waste heat into community energy assets
Latest in Software & Services
That's Them home page
Is That's Them worth it? My honest review
woman listening to computer
AWS vs Azure: choosing the right platform to maximize your company's investment
A person at a desktop computer working on spreadsheet tables.
Trello vs Jira: which project management solution is best for you?
Autonomous finance
Quickbooks vs Quicken: what are the main strengths and weaknesses for your business
finance
Quickbooks vs Xero: which is the best for your business?
Group of people meeting
Zoom vs Google Meet: which is the best video conferencing tool for your business?
Latest in News
The Samsung Galaxy S25 Edge on display the January 22, 2025 Galaxy Unpacked event.
A fresh Samsung Galaxy S25 Edge benchmark leak has eased my worries about its performance
Google Pixel 9 in green Wintergreen color showing AI features on screen
Older Pixels just got a big performance boost, while the Pixel 9a is lacking a key feature
Wonka poster
Netflix cooks up sweet new reality TV series based on Charlie and the Chocolate Factory, and it's a dream come true for me
Citroen 2CV
The retro EV resurgence is in full swing, as Citroen confirms the iconic 2CV will return with batteries
Hugging Snap
This AI app claims it can see what I'm looking at – which it mostly can
Apple iPhone 16 Pro Max REVIEW
The latest batch of leaked iPhone 17 dummy units appear to show where glass meets metal on the new designs