Nscale’s data center project in Glomfjord, Norway, is reportedly running six months behind schedule.

According to a report from Bloomberg, citing people close to the project and public records, the data center has faced hurdles including construction delays, local regulations, leaks in the cooling system, and a transformer fire.

Currently, 6.4MW of the planned 30MW is operational at the site.

To help speed up construction, Bloomberg reports that the company has towed in the Kalmar floating hotel to house construction workers nearby.

DCD has contacted Nscale for comment and verification of Bloomberg’s claims.

Nscale is currently preparing to launch its initial public offering, with reports suggesting it could be seeking a valuation of up to $35 billion.

The company published its IPO prospectus in September, which noted that Nscale has five active data centers offering a combined 55MW, with 12 in various stages of development.

In that IPO prospectus, among the risk factors listed are “delays in construction” as well as “construction site accidents” and “delays or denials of entitlements or permits, including zoning and related permits, work permits, demolition permits, start permits, design permits, operational permits, and close-out permits, which in certain locations we depend on third parties to obtain or other delays resulting from requirements of public agencies and utility companies.”

With this in mind, investors will be betting on the company’s $103bn in total contracted value, largely thanks to contracts with Anthropic and Microsoft, for which it is currently building out capacity.

The company has seen its revenue grow rapidly, recording $140.6 million for the six months to the end of June 2026, which the company claims is up 1,252 percent Year-over-Year. However, losses also ballooned to $1.02bn, compared to $368.9m in the same period of 2025.

Earlier this month, Aussie neocloud Firmus dropped its plans for an IPO, blaming “volatile market conditions.”

“The board therefore concluded that proceeding with the offer was not in the best interests of the company and its shareholders,” the Firmus statement said. “Firmus will now pursue capital from the private markets and consider alternative public and private market options.”

This came after reports emerged that the company had pulled the plug on its collaboration with CDC Data Centres, dubbed Project Southgate, that could have seen 1.6GW of capacity built in Australia. Only 43MW was delivered under the agreement, though Firmus is seemingly still going ahead with the build-out, but without CDC.