Nvidia and Deutsche Telekom Launch €1 B AI Data Center in Munich
Key Points
- Nvidia and Deutsche Telekom sign a €1 billion partnership for a Munich AI data center.
- The Industrial AI Cloud will use over 1,000 DGX B200 systems and up to 10,000 Blackwell GPUs.
- Early partners include Agile Robots for rack installation and Perplexity for AI inferencing.
- SAP will provide its Business Technology platform and applications.
- The facility aims to increase Germany’s AI computing power by about 50% and meet data‑sovereignty requirements.
- Operations are planned to start in early 2026, separate from the EU’s AI gigafactory initiative.
Nvidia has signed a €1 billion partnership with Deutsche Telekom to create an AI factory in Munich. The project, called the Industrial AI Cloud, will deploy over 1,000 Nvidia DGX B200 systems and RTX Pro servers equipped with up to 10,000 Blackwell GPUs to deliver AI inferencing and other services to German companies while respecting data‑sovereignty rules. Early partners include Agile Robots, which will install server racks, and Perplexity, which will use the facility for in‑country AI inferencing. SAP will supply its Business Technology platform, and the center is slated to begin operations in early 2026.
Partnership Overview
Nvidia and Deutsche Telekom have entered a €1 billion partnership to build an “AI factory” in Munich. The initiative, branded the Industrial AI Cloud, aims to boost Germany’s AI computing capacity by roughly 50% and provide a secure, sovereign environment for AI services.
Technology and Infrastructure
The data center will house more than 1,000 Nvidia DGX B200 systems and RTX Pro servers, leveraging up to 10,000 Blackwell GPUs. These resources will support AI inferencing, digital twins, and physics‑based simulation for industrial customers.
Key Partners and Roles
Deutsche Telekom will deliver the physical infrastructure. Early collaborators include Agile Robots, whose robots will install server racks, and Perplexity, which will offer in‑country AI inferencing to German users and firms. SAP will contribute its Business Technology platform and applications.
Regulatory Context and Timing
The project is designed to comply with German data‑sovereignty regulations and is distinct from the European Union’s AI gigafactory programme. Operations are expected to commence in early 2026.
Strategic Implications
Both companies view the partnership as a way to strengthen European AI capabilities and reduce reliance on foreign infrastructure. Deutsche Telekom’s CEO highlighted AI as a major opportunity to enhance products and reinforce European strengths.