OpenAI revealed plans on Thursday to launch Stargate Norway, its inaugural AI data center in Europe. The project is a partnership with British AI cloud infrastructure company Nscale and Norwegian energy firm Aker. Nscale will design and build the facility, which will operate as a 50/50 joint venture between the two companies. OpenAI will participate as an “off-taker,” purchasing capacity from the data center.
Strategic Move Amid Europe’s Push for AI Sovereignty
The announcement comes as Europe accelerates efforts to develop AI sovereignty by investing heavily in data centers and computing resources. Earlier this week, the European Union detailed a multibillion-dollar plan allocating €10 billion ($11.8 billion) for the creation of 13 AI factories, alongside an initial €20 billion investment in these facilities. Protecting data sovereignty is a key priority due to the sensitive nature of government and business information.
Nscale’s CEO Josh Payne emphasized the project’s goal to “leverage European sovereign compute” for the continent’s benefit. Priority access to Stargate Norway will be granted to Norway’s AI ecosystem, including startups and scientific researchers.
Nscale and Aker have each committed approximately $1 billion to the initial 20 megawatt phase of the data center. OpenAI aims for Stargate Norway to provide 230 megawatts of capacity initially, with plans to expand to 290 megawatts by the end of 2026. The center will be powered by 100,000 Nvidia GPUs.
Located near Narvik, a town in northern Norway, the facility benefits from abundant hydropower, a cool climate, and a well-established industrial base. OpenAI noted that the data center will operate entirely on renewable energy and utilize advanced cooling techniques, including closed-loop direct-to-chip liquid cooling for optimal efficiency. Excess heat generated will be redirected to support low-carbon enterprises in the region.
Compliance with EU Environmental Standards
Under the EU AI Act, effective since August 2024, systems with “unacceptable risk” are banned, and companies must ensure environmental protection and transparency regarding AI models’ energy consumption. The Energy Efficiency Directive further mandates energy efficiency in data centers and requires recovery of waste heat for centers exceeding specific energy thresholds.
This European initiative follows OpenAI’s announcement seven months ago to invest $500 billion in 10 gigawatts of AI infrastructure across the United States, in partnership with Oracle and SoftBank. It also comes after the earlier launch of Stargate UAE and a recent agreement with the U.K. government to accelerate AI infrastructure adoption.
What The Author Thinks
Building sovereign AI data centers like Stargate Norway is crucial for Europe’s ability to maintain control over its digital future. With increasing concerns over data privacy, security, and geopolitical tensions, relying on local compute capacity ensures autonomy and resilience. OpenAI’s investment not only provides cutting-edge resources but also signals confidence in Europe’s strategic importance in AI development. The challenge will be balancing massive infrastructure needs with environmental sustainability and regulatory demands.
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