Microsoft is resuming its Iowa data center project with a reduced budget and improved design.

Microsoft announced that it will resume its Iowa data center project, reports The WHIR. The company suspended the buildout of the facility amid last year's economic downturn.

Microsoft's original plan to construct a $600 million data center on 40 acres has been scaled back to a more lightweight approach that the company hopes will reduce the facility's costs by 50 percent. The budget for the project has also been slashed to $100 million.

Iowa has already approved Microsoft's revised plans, but the company's tax credits will be reduced from $2.1 million to $590,000, according to The Des Moines Register.