As per ESG Today, the deal is an extension of a previous one, made last year, when the two companies agreed on a 2.5 GW procurement for solar panels. Additionally, QCells, a subsidiary of South Korean conglomerate Hanwha Group, said back in 2023 that it planned to invest over 2.5 billion USD to build a complete solar panel supply chain in the US.

Justin Lee, CEO of QCells, said that the two companies will collaborate "towards creating a clean, sustainable future because of our investment in building an American-made solar supply chain."

QCells and Microsoft will work together to bring online about 1.5 GW of solar power every year until 2032 to projects commissioned by the American tech company.

The solar modules which are to be supplied will be manufactured at QCells' factory in Cartersville, Georgia, which could be completed later this year.

Bobby Hollis, Vice President, Energy at Microsoft, said that "our expanded agreement with QCells is designed to drive large-scale domestic production of solar modules essential to advancing a resilient U.S. supply chain and clean energy economy. Through long-term agreements like this we are signaling Microsoft’s demand and bringing more renewable energy to the grid, faster."

Officials from both companies stated that the deal "solidifies Microsoft as one of the world’s largest purchasers of renewable energy."