OpenAI Opens One of Europe's Biggest AI Data Centers with 100,000 Nvidia Chips
OpenAI is also greatly scaling its international presence with the unveiling of a huge AI data facility in Norway, its initial Stargate-tagged project in Europe. The ambitious project is a partnership between British tech infrastructure company Nscale and Aker, Norway's largest energy conglomerate, on a 50-50 basis. The plant will be one of the most powerful data centres in Europe.
A New Chapter in European AI Infrastructure
The facility, situated in Kvandal, near Narvik in northern Norway, will be home to a staggering 100,000 NVIDIA GPUs in 2026. These GPUs are essential for training and running sophisticated AI models, including big language models like those made by OpenAI.
The plant will start at 230 megawatts of capacity and will be powered totally by renewable hydropower—a huge leap toward sustainability in the AI sector. The first phase requires a $2 billion investment, with equal shares between Nscale and Aker for the initial 20 MW build-out.
Powering Europe's Sovereign AI Drive
This project aligns closely with Europe’s strategic push for “sovereign ”AI”—the idea that AI infrastructure and data processing should remain within European borders. With growing concerns around data privacy, energy consumption, and technological independence, OpenAI’s Stargate centre could serve as a model for future development on the continent.
For Josh Payne, CEO of Nscale, the project is about a lot more than infrastructure. "What the continent requires are big AI infrastructure projects that are unleashing compute power. The ecosystem will use the project to create AI products to drive productivity growth and economic value," Payne said in an interview with CNBC.
Global Expansion of the Stargate Initiative
Stargate was originally announced earlier this year in 2025 in the US as a joint venture between OpenAI, Oracle, SoftBank, and the UAE's MGX. The group announced plans to spend $500 billion across four years developing global AI infrastructure. Another Stargate campus has already been announced in the UAE, and others will likely follow.
Although this is as yet the sole Stargate data centre to be planned in Europe, Nscale has intimated a more extensive European expansion strategy unrelated to this alliance. With burgeoning demand for AI services, expansion does seem inevitable.
The Nvidia Backbone
Nvidia’s chips have become the gold standard for AI computation, with their GPUs being integral to the training and inference of large models. OpenAI’s decision to rely on 100,000 Nvidia GPUs underscores the intense computational demands of its cutting-edge AI systems and the company’s commitment to maintaining leadership in the space.
FAQs
Why is OpenAI building a data centre in Norway?
Norway provides a perfect setting because it has plenty of hydropower, a chilly climate, and a sparse population, rendering it cost-effective and environmentally friendly for undertaking large-scale computing initiatives.
What is the Stargate project?
Stargate is an international AI infrastructure project initiated by OpenAI, Oracle, SoftBank, and MGX. It aims to construct enormous, AI-tuned data centres around the world to enable sophisticated AI development and deployment.
What is "sovereign AI," and why does it matter?
Sovereign AI means hosting and running data and AI infrastructure in a particular region, typically to meet regulatory requirements, maintain data sovereignty, and improve national independence and security in AI capabilities.
How much will the Norway data centre cost?
The initial stage—a 20 MW capacity build-out—will cost approximately $2 billion, with a half-and-half investment by Nscale and Aker. This is just the beginning of a much bigger plan to ramp up to 100,000 GPUs and beyond.
Are there going to be more Stargate centres in Europe?
As of now, there are no confirmed plans for additional Stargate centres in Europe. However, Nscale has indicated it is pursuing a wider European expansion strategy outside this specific collaboration.
With Europe looking to assert itself in the global AI arms race, OpenAI’s investment signals a pivotal moment—not just for the continent’s digital future but for the ongoing globalisation of AI infrastructure.
