"Nvidia and Deutsche Telekom are investing €1 billion in a new German data center for AI. Construction of the facility, one of the largest in Europe, will begin in the first quarter of 2026. Germany's aim is to build an AI ecosystem to compete with the US and China. However, the investment lags far behind US projects. The plans were announced Tuesday at an event in Berlin with Nvidia CEO Jensen Huang and Deutsche Telekom boss Tim Höttges."
"The facility will be an extension of an existing data center in Munich. Deutsche Telekom says it will increase Germany's AI computing power by about 50 percent. The project will deploy up to 10,000 GPUs. SAP is a key partner in the data center's architecture. The scale of the project sounds impressive, but it stands in stark contrast to American plans. The Stargate location in Abilene, Texas, for example, will deploy approximately 450,000 GPUs."
"In February, the European Union announced a €200 billion plan to support AI development in the region. The goal is to triple the capacity for AI systems over the next five to seven years. Deutsche Telekom is talking to other companies about participating in the construction of so-called AI gigafactories. However, the process is slow, and the EU has not yet worked out exactly how it will evaluate bids and allocate funding, Bloomberg reports."
Nvidia and Deutsche Telekom are investing €1 billion to build a major AI data center in Munich, with construction starting in Q1 2026. The facility will extend an existing Munich data center and deploy up to 10,000 GPUs, which Deutsche Telekom says will increase Germany's AI computing power by about 50 percent. SAP is a key partner in the center's architecture. The project contrasts with much larger U.S. plans such as the Stargate site in Abilene, Texas, which plans roughly 450,000 GPUs. The European Union unveiled a €200 billion plan to expand AI capacity, but funding allocation and gigafactory development remain slow.
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