Nscale, a UK-based AI start-up backed by Nvidia, is betting its $35bn IPO on the Monarch Compute Campus in West Virginia. The 2,250-acre site, designed to deliver 8GW of power, faces construction delays, regulatory violations, and local opposition. Originally pitched as a hydrogen-powered net-zero project, the site will now rely on 864 gas-fired engines, placing it among the US’s top 20 greenhouse gas emitters.
Anthropic has committed $45bn to lease computing power from the first building, representing over 40% of Nscale’s $103bn revenue backlog. However, the company has not secured financing to build the first facility, and Anthropic may walk away if deadlines are missed. An EY report estimates the first phase will cost $69.2bn.
The West Virginia site has become critical after Microsoft cancelled a deal in Essex, UK, worth $3bn. Nscale, which reported a $1bn net loss on $141mn revenue in H1 2026, is also developing sites in Portugal, Norway, and Texas. CEO Josh Payne insists demand remains strong, citing long-term contracts.
Regulators issued a cease-and-desist order in September due to flooding from stormwater runoff, with 10 violations already recorded.
Source: Financial Times Companies · Summarized by HeadlinesBriefing