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Telecom, SAP, Schwarz, Ionos, Siemens: Giant AI data centers in Europe from new consortium

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TL;DR

  • A high-profile consortium with Telekom, SAP, Schwarz Group, Ionos, and Siemens plans to spend billions of euros on AI-Gigafactories in the EU.
  • The consortium is negotiating a joint application with the European Union’s support to build a large data processing center for artificial intelligence.
  • The project aims to reduce Europe’s dependence on foreign technologies and strengthen its digital sovereignty.

Consortium aims to secure European Commission’s funding

A new consortium comprising Telekom, SAP, Schwarz Group, Ionos, and Siemens is planning to invest billions of euros in building giant AI data centers in Europe. The consortium is currently in talks to secure funding from the European Commission’s €20 billion AI gigafactories initiative. This project is part of a larger effort to enhance Europe’s digital sovereignty and reduce its reliance on foreign technologies.

The consortium’s plans include building a large data processing center for artificial intelligence, which would host around 100,000 of the latest-generation AI chips. The center would be used to train the most complex and large AI models, providing a significant boost to Europe’s AI capabilities. The project is seen as a crucial step in strengthening Europe’s digital sovereignty and reducing its dependence on foreign technologies.

According to Data Center Dynamics, the consortium is seeking to secure funding from the European Commission’s AI gigafactories initiative, which aims to invest €20 billion in developing four large-scale AI data centers across Europe. The initiative is part of a broader effort to enhance Europe’s digital sovereignty and reduce its reliance on foreign technologies.

AI data centers are important for sovereignty and a growth stimulus

The consortium’s plans have been welcomed by industry experts, who see the project as a significant step forward in enhancing Europe’s AI capabilities.

“The development of AI data centers is crucial for Europe’s digital sovereignty,” said Christine Knackfuss-Nikolic, Chief Technology Officer at T-Systems.

The project is expected to create new job opportunities and stimulate economic growth in the region.

In addition to the consortium’s plans, other initiatives are underway to enhance Europe’s digital sovereignty. The European Commission has launched the EuroStack initiative, which aims to develop a common digital stack for Europe. The initiative includes plans to build a sovereign cloud, develop AI-as-a-service, and create a European digital identity wallet.

The development of AI data centers is a complex process that requires significant investment and expertise. The consortium’s plans include building a large data processing center that would host around 100,000 of the latest-generation AI chips. The center would be used to train the most complex and large AI models, providing a significant boost to Europe’s AI capabilities.

Conclusion

In conclusion, the consortium’s plans to build giant AI data centers in Europe are a significant step forward in enhancing Europe’s digital sovereignty. The project is expected to create new job opportunities, stimulate economic growth, and reduce Europe’s dependence on foreign technologies. As the project moves forward, it will be important to monitor its progress and ensure that it meets its objectives.

References

[^1]: Dan Swinhoe (May 27, 2025). SAP, DT, Ionos, and Schwarz partner for potential AI data center in Germany. Data Center Dynamics. Retrieved May 30, 2025.
[^2]: European Commission (February 2022). A Chips Act for Europe. Retrieved May 30, 2025.
[^3]: Christine Knackfuss-Nikolic (January 31, 2025). Together for a Sovereign Digital Future in Europe. Deutsche Telekom. Retrieved May 30, 2025.

This article was written with the help of AI.

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