OpenAI to Launch Stargate Norway: Europe’s First Major AI Data Center
OpenAI has announced a landmark initiative to establish its first AI data center in Europe, named “Stargate Norway.” This strategic move, revealed on Thursday, is a collaborative effort with British AI cloud infrastructure provider Nscale and Norwegian energy infrastructure firm Aker, signaling a significant stride in Europe’s pursuit of AI sovereignty.
The partnership designates Nscale as the lead in designing and building the cutting-edge facility, forming a 50/50 joint venture with Aker. OpenAI will serve as an “off-taker” in the project, committing to purchase substantial capacity from the new data center, ensuring its powerful AI models have the necessary computational resources.
This development comes at a pivotal time as Europe intensifies its efforts to achieve AI sovereignty and bolster its compute infrastructure. Earlier this week, the European Union unveiled ambitious plans to invest €10 billion ($11.8 billion) into establishing 13 “AI factories,” with an initial broader investment of €20 billion. Data sovereignty is a cornerstone of this mission, particularly given the sensitive nature of governmental and business data processed by AI.
While a crucial part of Europe’s AI landscape, Nscale CEO Josh Payne clarified to CNBC that Stargate Norway operates independently of the European Union’s broader AI infrastructure investments. Nevertheless, Payne emphasized the project’s aim to “leverage European sovereign compute” for the benefit of the entire continent. Critically, Norway’s burgeoning AI ecosystem, encompassing startups and scientific researchers, will be granted priority access to the center, fostering domestic innovation.
The initial 20-megawatt (MW) phase of Stargate Norway has seen commitments of approximately $1 billion each from Nscale and Aker, as reported by CNBC. OpenAI anticipates the facility will initially deliver 230 MW of capacity, with plans for expansion to 290 MW. By the close of 2026, the data center is projected to house an impressive 100,000 Nvidia GPUs, underscoring its immense processing power.
The chosen location near Narvik, a small town in northern Norway, offers strategic advantages. OpenAI highlighted in an official blog post the region’s abundant hydropower resources, naturally cool climate, and a mature industrial base—factors crucial for sustainable and efficient data center operations.
Environmental sustainability is a core tenet of the project. OpenAI affirmed, “The facility will run entirely on renewable power and is expected to incorporate closed-loop, direct-to-chip liquid cooling to ensure maximum cooling efficiency.” Furthermore, the initiative plans to harness “excess heat from the GPU systems” to support low-carbon enterprises in the region, showcasing an innovative approach to energy reclamation and local economic benefit.
The design and operational principles of Stargate Norway align well with evolving European regulations. The EU AI Act, effective August 2024, mandates environmental protection and transparency in AI model energy consumption. Similarly, the bloc’s Energy Efficiency Directive promotes energy efficiency within the ICT sector, including data centers, and encourages the recovery of waste heat from large facilities.
This announcement is the latest in a series of significant infrastructure investments by OpenAI. It follows a monumental $500 billion commitment seven months prior towards 10 gigawatts of AI infrastructure in the United States over four years, in partnership with Oracle and SoftBank. Earlier this year, OpenAI also launched “Stargate UAE” and recently solidified a deal with the U.K. government to accelerate AI adoption and boost infrastructure, reaffirming its global expansion strategy to support its growing AI capabilities.
