Microsoft spent $5 billion less than expected on AI last quarter, and satellite images may show why, Business Insider reported. On Microsoft's quarterly earnings call last month, chief financial officer Amy Hood said delays by third-party cloud providers contributed to lower-than-expected AI infrastructure spending, and Microsoft cut its annual capital expenditure forecast by $5 billion. Although Microsoft didn't name names, two data center projects from neoclouds Iren and Nebius could be responsible, according to satellite analysis from research firm Aterio. In Texas, IREN is building four data centers under a $9.7 billion deal with Microsoft; an October 21 satellite flyover found that one of the buildings, Horizon 4, was still missing backup power generators and cooling equipment and risked missing its scheduled delivery by the end of the year, Aterio said. Data center operator DataOne is developing the second project in New Jersey for Nebius under a $17.4 billion deal with Microsoft, and Aterio said roughly 140 megawatts of that project's planned capacity could slip into 2027. A Microsoft spokesperson said its "approach to infrastructure is built on flexibility and optionality," combining its own data centers with leased facilities and third-party providers.