Microsoft Restarts $1B Data Center Construction in Catawba County After 10-Month Pause

Microsoft has picked up where it left off on its $1 billion data center work in Catawba County. The halt lasted ten months. Between November and December, the company secured building permits for locations in Conover, Hickory, Maiden, and Newton, county records show.

Scott Millar runs the Catawba County Economic Development Corp. He verified the permits Thursday.

The four centers will cost $909 million when built, permits indicate.

In April 2024, Microsoft said it would postpone the work. No timeline was given. Why the company stopped remains a mystery.

Back in 2022, Microsoft revealed its intention to pour $1 billion into four centers across these towns, which sit 40 to 60 miles north of Charlotte. An agreement with the county requires at least 50 jobs and wrapping up within a decade.

Millar isn't worried. He thinks Microsoft will hit its targets. The deadline stretches to 2032.

Across the Carolinas, these facilities are multiplying. Charlotte has become a magnet for AI operations and massive server farms. Last year, Microsoft hit pause or canceled several similar builds around the country and overseas.

Reports pointed to two possible reasons: questions about whether demand justified all the construction and practical obstacles like scarce materials or insufficient power.

Microsoft also has eyes on Person County, where it purchased 1,350 acres for $27 million in October 2024. That's roughly 50 miles north of Raleigh.

Google and Amazon both run centers near Charlotte. Digital Realty and Segra own others, either dedicated to one client or split among several tenants.

Digital Realty, based in Texas, will tear down two office structures to make room for a four-story, 12 MW building on East Trade Street in Charlotte. It's also planning what could be the area's biggest campus in west Charlotte with 400 megawatts and 3 million square feet.

According to the Charlotte Observer, Duke Energy is ramping up to meet skyrocketing electricity needs. The company laid out a $103 billion capital plan running through 2030.

Not everyone is thrilled. Local residents have voiced worries about the racket, water consumption, and electricity demands these centers bring, often with little transparency from operators.