We Energies Clarifies Microsoft Data Center Contract Terms
In Milwaukee, We Energies has stated that Microsoft will not be held to conflicting terms in their electric service contract for a data center. The contract included outdated language limiting power plant locations, which was previously rejected by state regulators.…

Milwaukee, WI, August 9, 2026 —
We Energies has clarified that Microsoft will not be subject to conflicting terms within its electric service contract concerning a planned data center in Milwaukee. The utility company stated that the outdated language in the contract, which previously faced rejection from state regulators regarding power plant locations, will not govern Microsoft’s power purchases.
According to We Energies, the Public Service Commission’s (PSC) order will be the determining factor for Microsoft’s energy acquisition. This statement addresses concerns that the existing contract might impose limitations on the location of power generation facilities intended to serve the data center.
The Public Service Commission had previously rejected the specific clause within the contract that dealt with power plant site limitations. We Energies maintains that its operations and the service provided to Microsoft will adhere to the PSC’s directives, ensuring compliance with regulatory standards. The specifics of the fine amount were not provided.
Story summarized from the original created by Paul Kiefer / Wisconsin Watch on milwaukeenns.org, see more information here.
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