Microsoft has reportedly pulled back on data center projects around the world, suggesting that the company is wary of overexpanding.

Microsoft, like many major tech companies, is all-in on AI. However, it looks like the Windows creator will be taking a step back to reassess its efforts in that space. Microsoft had previously planned to build new data centers to power AI in countries around the world, but is now delaying or pausing those plans.

Microsoft is building more data centers outside San Antonio, Texas. In a filing with the Texas Department of Licensing and Regulation, Microsoft detailed plans to build two single-story data center buildings (SAT89 and SAT90) at 2995 US HWY 90 W in Castroville.