OpenAI to build first European data center in Norway, aims for "Sovereign AI"

By  Storyboard18| Aug 3, 2025 10:49 AM

OpenAI has announced "Stargate Norway," its first AI data center in Europe, in a partnership with British AI cloud provider Nscale and Norwegian energy firm Aker. The project, located near Narvik in northern Norway, is a strategic move to establish a foothold in Europe and address the continent's push for "AI sovereignty."

Nscale will design and build the data center as part of a 50/50 joint venture with Aker. OpenAI will serve as an "off-taker," purchasing capacity from the facility. The initial phase of the project, a 20-megawatt (MW) build, has a committed investment of approximately $1 billion from Nscale and Aker. Stargate Norway is slated to initially deliver 230 MW of capacity, with plans to expand to 290 MW, and is expected to house 100,000 Nvidia GPUs by the end of 2026.

The location was chosen for its abundant hydropower, cool climate, and industrial infrastructure. The data center is designed to be highly sustainable, running entirely on renewable power and utilizing closed-loop liquid cooling. Excess heat from the facility will be made available to support low-carbon enterprises in the region, aligning with directives from the EU's Energy Efficiency Directive.

While the project is not directly part of the European Union's recently announced multibillion-dollar investment in AI infrastructure, it contributes to the bloc's goal of scaling AI at home. The EU's plan includes a €10 billion ($11.8 billion) investment for 13 AI factories and a further €20 billion in initial investment.

The Stargate Norway announcement follows OpenAI's previous plans to invest $500 billion in a 10-gigawatt AI infrastructure in the United States and the launch of its Stargate UAE project earlier this year.

First Published onAug 3, 2025 10:49 AM

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