OpenAI is expanding its global infrastructure with a significant investment in Europe, establishing its first European data center in Norway. This initiative, known as "Stargate Norway," marks a major step in the company's efforts to meet the growing demand for AI computing power and support the burgeoning European AI ecosystem.
Strategic Partnership and Investment
The Stargate Norway project is a collaborative effort between OpenAI, British AI cloud infrastructure provider Nscale, and Norwegian energy company Aker. Nscale will lead the design and construction of the site. The ownership of the facility will be split 50/50 between Nscale and Aker. Each partner is investing $1 billion into the initial phase of the project. OpenAI will act as an "off-taker," purchasing computing capacity from the center to power its AI models and services.
Location and Infrastructure
The data center will be located in Narvik, Northern Norway, a region chosen for its abundant renewable hydropower resources, low energy costs, cool climate, and established industrial base. This location is ideal for supporting large-scale, sustainable AI capacity. The facility is designed to be powered entirely by renewable energy, capitalizing on Norway's hydropower resources. To manage the intensive computing demands of AI workloads, the center will employ closed-loop, direct-to-chip liquid cooling, a cutting-edge method that significantly reduces energy waste. Excess heat generated by the GPU systems will be redirected to support low-carbon industries in the surrounding region, aligning with sustainability goals.
Capacity and Scalability
Stargate Norway is projected to deliver 230MW of computing capacity initially, with plans to scale up to 290MW by the end of 2026. The facility is expected to house 100,000 Nvidia GPUs by 2026, making it one of the most powerful and energy-efficient AI infrastructure projects in Europe. There are plans to potentially double the capacity in the future.
Strategic Implications for Europe
OpenAI's investment in Norway comes at a time when Europe is increasingly focused on developing its own AI capabilities and ensuring data sovereignty. The European Union has unveiled a €30 billion investment into 13 sovereign AI facilities to reduce dependency on non-European providers. While Stargate Norway is not formally part of this EU initiative, it positions OpenAI at the forefront of powering Europe's AI future.
Norwegian AI startups and research institutions will receive priority access to the data center's compute resources. This reinforces OpenAI's role in fostering sovereign European compute capacity, even while operating outside formal EU initiatives. The company is also exploring collaborations with the Norwegian government to increase AI adoption and support Norway's sovereign AI goals. Any remaining capacity will be offered to users across the UK, Nordics, and Northern Europe.
Technological Advancements and Sustainability
The data center will incorporate advanced technologies to maximize efficiency and minimize environmental impact. The use of closed-loop, direct-to-chip liquid cooling will ensure maximum cooling efficiency. The facility's design and renewable energy usage align with the EU AI Act and the Energy Efficiency Directive, which mandate energy reporting and sustainability standards for data centers.
Statements from Key Figures
OpenAI CEO Sam Altman stated that Europe needs significantly more computing power to unlock AI's full potential for researchers, startups, and developers. He believes Stargate Norway will be a cornerstone for driving innovation and economic growth in the region. Nscale CEO Josh Payne emphasized that sovereign, scalable, and sustainable infrastructure is essential for remaining competitive. Aker CEO Øyvind Eriksen noted that Stargate Norway will create new jobs, activity, and long-term opportunities in the Narvik region.
