MUNICH — Deutsche Telekom and Nvidia have announced a €1 billion ($1.2 billion) joint venture to build a cutting-edge AI cloud platform aimed at serving industrial, public sector, and defense clients across Europe. The initiative, unveiled on November 4, 2025, marks one of the continent’s largest private investments in AI infrastructure to date.
The platform will be hosted in a newly refurbished data center in Munich and powered by up to 10,000 of Nvidia’s latest Blackwell GPUs. The infrastructure is designed to deliver high-performance computing capabilities for applications such as predictive maintenance, supply chain optimization, and AI-driven automation in manufacturing and logistics.
SAP will provide the enterprise software stack, enabling clients to build, deploy, and scale AI solutions with robust tools tailored for industrial use cases.
“This is a strategic leap for European AI infrastructure,” said Deutsche Telekom CEO Tim Höttges. “We’re combining connectivity, compute, and software to empower industrial transformation.”
Nvidia CEO Jensen Huang emphasized the importance of localized AI infrastructure, noting that the platform will help reduce reliance on U.S.-based hyperscalers and support Europe’s push for digital sovereignty.
The AI cloud will offer on-demand computing power, allowing clients to access scalable resources without the need for their own hardware. It is expected to play a key role in enabling secure, sovereign AI development for both commercial and government applications.
The announcement comes amid a global race to build the infrastructure needed to support next-generation AI workloads, with major tech firms investing heavily in data centers, chips, and cloud services.
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