OpenAI spearheads one of Europe’s biggest data centers with 100,000 Nvidia chips

OpenAI has announced the establishment of a new AI data center branded as Stargate in Norway, marking a significant entry into the European market. This ambitious project is being developed in collaboration with British company Nscale and Norwegian energy firm Aker, operating under a 50-50 joint venture. Set to become one of Europe's largest data centers, the site aims to deploy a staggering 100,000 NVIDIA graphics processing units (GPUs) by the end of 2026, with plans for substantial expansion in the future. OpenAI will function as an 'off-taker' in the venture, essentially purchasing capacity from the facility. The data center is designed to operate entirely on renewable energy, boasting a capacity of 230 megawatts. The strategic location in Kvandal, near Narvik in northern Norway, is ideal due to its abundant hydropower resources, low local electricity demand, and limited transmission capacity, which makes it a perfect fit for such a large-scale operation. Both Nscale and Aker have committed approximately $1 billion to kickstart the initial 20 megawatt phase of the project. The Stargate initiative was first introduced earlier this year in the United States, part of a broader infrastructure collaboration involving OpenAI, Oracle, Japan's SoftBank, and the UAE's MGX, with a staggering $500 billion investment planned over the next four years. OpenAI's global expansion ambitions are clear, as seen in a recent announcement about a Stargate campus in the UAE. The push for 'sovereign AI' in Europe underscores the importance of having data centers and AI operations located within European borders. Companies like Nvidia and OpenAI are keen to showcase their capabilities in this area. During a visit to Europe, Nvidia's CEO Jensen Huang emphasized the need for increased AI infrastructure on the continent. In a related development, French AI firm Mistral has revealed plans to utilize Nvidia's GPUs in a forthcoming data center in France.