In January, Microsoft announced our Community-First AI Infrastructure Plan, outlining our commitments to the communities where we operate or are seeking to operate datacenters. As part of that announcement, we called for greater degree of local transparency.

Today, we’re sharing that Microsoft has made the decision to end the use of nondisclosure agreements (NDAs) with local governments as the next step in our work to deliver that transparency. We’re committed to sharing information about our datacenter plans as openly as possible as we continue to build trust with the communities around the world in which we operate.

You can find more information on Microsoft’s new policy regarding NDAs with local governments below.

Why did Microsoft seek NDAs with local governments in the first place, and why are you changing your position? 

Microsoft has sometimes used NDAs during early stages of datacenter development to help protect sensitive commercial information, address early security considerations, and ensure we can comply with local regulatory and permitting processes. It is a common industry practice to seek NDAs to protect early information about development proposals. However, we’ve made the decision that being transparent with the communities where we operate or seek to operate is paramount. This shift is about strengthening public trust, enabling better dialogue, and ensuring that our growth is matched by meaningful engagement. 

Has Microsoft terminated all of its existing NDAs with local governments? 

Microsoft is working to identify any active NDAs in place globally and to reach out to those local governments to coordinate termination.   

Does this mean that Microsoft will no longer protect business confidential information? 

In certain limited circumstances, we may share confidential trade secrets or competitive sensitive information about our datacenters with local governments. For example, we may be required to provide detailed specifications of our datacenter design and security controls for building permits. In those circumstances, and where allowed by law, we will still seek to protect such information from records disclosure to protect our business interests.  

Will Microsoft be able to provide all of the details about a project at the outset? 

You can expect that we will proceed with development in adherence with our Community-First AI Infrastructure Plan in the US and in accordance with all applicable laws.  Microsoft’s development process proceeds in stages, just like any commercial real estate development. The first stage is to purchase land that allows for datacenter development, then we proceed to design, site grading, and eventually vertical construction. We often work in close coordination with local governments to develop our designs to reflect local requirements and priorities. Because of this coordination and the sequential nature of our development, we may not have all development details from the beginning, but we endeavor to share information transparently when it is available.  

Does the NDA termination apply retroactively? 

We are terminating existing NDAs to allow for greater transparency moving forward. If local governments have questions about existing records, we will address those questions on a case-by-case basis.  

For PR-related questions contact Microsoft Media Relations.  

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