Microsoft Corp. has canceled some leases for US data center capacity, according to TD Cowen, raising broader concerns over whether it’s securing more AI computing capacity than it needs in the long term.

Microsoft’s lease cancellations were detailed on Friday in a note from TD Cowen analysts. According to Bloomberg, the investment bank believes that Microsoft has voided contracts for data centers with about 200 megawatts in combined capacity. One megawatt corresponds to the electricity usage of several hundred households.

The development comes as investors are closely watching whether Big Tech hyperscalers will continue to spend heavily on AI infrastructure.