Nvidia, Deutsche Telekom unite to build AI factory in Germany

Nvidia and Deutsche Telekom have announced they are teaming up to build an AI factory for European manufacturers.

Nvidia will supply 10,000 Nvidia Blackwell GPUs, as well as networking and AI software to build what’s been labelled as “Germany’s single largest AI deployment” in Deutsche Telekom’s existing data centres. 

According to the giant chipmaker, customers will be able to run Nvidia CUDA-X libraries, as well as Nvidia RTX- and Omniverse-accelerated workloads from software providers such as Siemens, Ansys, Cadence and Rescale.

“In the era of AI, every manufacturer needs two factories: one for making things, and one for creating the intelligence that powers them,” Nvidia founder and CEO Jensen Huang said.

“By building Europe’s first industrial AI infrastructure, we’re enabling the region’s leading industrial companies to advance simulation-first, AI-driven manufacturing.”

Poised to be switched online in 2027, the new factory is expected to be used by European enterprises, startups, researchers, and universities to accelerate application development including design, engineering, simulation, digital twins, and robotics.

How Deutsche Telekom/Nvidia German AI factory will be used

Germany-based robotics firms Neura Robotics said it will used the computing resources to power its state-of-the-art training centers for cognitive robots.

“Physical AI is the electricity of the future — it will power every machine on the planet,” said NEURA Robotics CEO David Reger.

“Through this initiative, we’re helping build the sovereign infrastructure Europe needs to lead in intelligent robotics and stay in control of its future.”

The announcement was made as part of Huang’s European tour where he met Chancellor Friedrich Merz to discuss new partnerships that could help Germany in its next steps of its sovereign AI infrastructure journey.

The AI gigafactory initiative is a 100,000 GPU-powered program backed by the European Union, Germany, and partners.

“Europe’s technological future needs a sprint, not a stroll,” said Deutsche Telekom CEO Timotheus Höttges.

“We must seize the opportunities of artificial intelligence now, revolutionize our industry and secure a leading position in the global technology competition. Our economic success depends on quick decisions and collaborative innovations.”

Earlier this month, Nvidia added Sweden to its growing list of countries where it plans to build AI factories. Other countries have included Taiwan, Saudi Arabia, and Canada.

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