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Microsoft is reportedly exploring the possibility of acquiring a site near Phoenix, Arizona, for a new data center, following Apple's recent $2 billion investment in a data center project. The Arizona state legislator Jeff Dial noted that Microsoft has requested adjustments to the 2013 data center tax breaks, which were established to promote data center growth in the state.

Microsoft, a member of the Arizona Data Center Coalition, is said to be considering a location near Union Hill Drive, potentially encompassing up to 575,000 square feet. This development aligns with Microsoft's ongoing expansion efforts in cloud services, similar to its past projects in Iowa and Texas.