Artificial Intelligence

OpenAI Launches Norway’s First Major AI Data Center with $1 Billion Investment

by Muskan Kansay - 1 day ago - 2 min read

OpenAI is establishing its first European AI data center in Norway, signaling a strategic investment in local infrastructure amid rising demand for advanced computing across the continent. Dubbed Stargate Norway, the project is located in Kvandal, near Narvik, and is a collaboration between UK-based Nscale, Norwegian industrial group Aker ASA, and OpenAI itself.

Joint Venture Backed by $1 Billion Investment 

Stargate Norway is being developed under a 50/50 joint venture between Nscale and Aker, with Nscale overseeing design and construction. OpenAI will serve as a foundational partner, securing a large share of the facility’s capacity as a key user, though it will not manage daily operations. The project’s initial phase is backed by an investment of 10 billion Norwegian kroner (approximately $1 billion) contributed equally by Nscale and Aker, reflecting the facility’s substantial scale and ambition.

Scaling Up: 100,000 Nvidia GPUs and 230 MW Power Target

With plans to deploy 100,000 Nvidia GPUs by the end of 2026 and an initial target of 230 MW of power, Stargate Norway is set to become one of Europe’s leading sites for AI computation, with future capacity expansions already mapped out.

Green Innovation: Renewable Power and Heat Recycling

The data center’s design prioritizes sustainability: it runs entirely on Narvik’s renewable hydropower, incorporates advanced direct-to-chip liquid cooling to maximize energy efficiency, and repurposes excess heat to support new low-carbon businesses in the area—directly addressing environmental and community priorities.

Serving Local Demand and Advancing “Sovereign AI”

This initiative comes as demand for AI infrastructure climbs sharply in Europe, according to OpenAI, usage of ChatGPT in Norway has quadrupled over the past year. The new facility aims to provide priority access to AI compute power and services for Norwegian startups, researchers, and public sector institutions, while surplus capacity will be made available more broadly throughout the Nordics, the UK, and Northern Europe.

Strategic Alignment with European Policy and OpenAI’s Vision

Both OpenAI and its partners highlight Stargate Norway’s alignment with European digital policy objectives, enabling local data processing under regional regulations and advancing the goal of "sovereign AI." The project is also part of OpenAI’s broader “OpenAI for Countries” program, which supports national efforts to develop indigenous AI capabilities on secure, compliant infrastructure. Through this initiative, OpenAI signals its commitment to supporting not just technological advancement, but also economic resilience and regulatory independence in Europe’s evolving AI landscape.