OpenAI is teaming up with Nscale and Aker to build Europe's first AI gigafactory – 'Stargate Norway' is set to host 100,000 Nvidia GPUs and will be powered by renewable energy
Stargate Norway aims to have 100,000 Nvidia processors up and running by the end of next year


OpenAI has announced a partnership with Nscale and Aker to build Europe’s first AI gigafactory in Northern Norway.
Stargate Norway, located in Kvandal, just outside Narvik, is OpenAI’s first AI data center initiative in Europe under its OpenAI for Countries program.
The region has abundant hydropower, low local electricity demand, and limited transmission capacity, the trio noted, offering power prices well below the European average.
The facility will initially deliver 230MW of capacity, with ambitions to expand by an additional 290MW. There's a target of 100,000 Nvidia GPUs for the end of 2026, with plans to expand that significantly in the years ahead.
Long-term, it has the potential to expand by ten times in future phases as more customer contracts are snapped up. Surplus capacity will be made available to public and private sector users across the UK, Nordics, and Northern Europe, serving regional demand.
“Sovereign, scalable, and sustainable infrastructure is now essential to remain competitive. We’re proud to partner with Aker, drawing on the team’s extensive experience and impressive track record, to deliver a new generation of AI economic and productivity growth in Europe,” said Josh Payne, CEO of Nscale.
"Together, we are combining OpenAI’s leading models with Nscale’s vertically integrated AI cloud, to provide the sustainable infrastructure necessary to support public benefit, build industrial resilience and enable long-term regional innovation.”
Sign up today and you will receive a free copy of our Future Focus 2025 report - the leading guidance on AI, cybersecurity and other IT challenges as per 700+ senior executives
Stargate Norway will run on renewables
Stargate Norway will run entirely on renewable power and is expected to incorporate closed-loop, direct-to-chip liquid cooling to ensure maximum cooling efficiency. Meanwhile, excess heat from the GPU systems will be used to support local low-carbon enterprises.
“Norway has a proud history of turning clean, renewable energy into industrial value, powering global industries like aluminum and fertilizer,” said Øyvind Eriksen, president and CEO of Aker.
“Today, artificial intelligence and advanced data operations represent the next wave of value creation. Northern Norway, with its surplus of clean energy, available capacity, and industrial readiness, is the ideal launchpad for this transformation."
The site will be designed and built by AI infrastructure provider Nscale, and owned by a 50/50 joint venture between Nscale and energy engineering firm Aker.
The two companies have committed around $1 billion for the initial 20MW phase of the project, including more than $250 million in equity on a 100% basis, where each partner will contribute equally.
They said they'll start taking the first steps and mobilize resources for construction while the joint venture is set up.
OpenAI chief executive Sam Altman said the project is a huge step in helping accelerate compute capabilities for Europe. .
“Europe needs more compute to realize the full potential of AI for all Europeans — from developers and researchers to startups and scientists — and we want to help make that happen,” he said in a statement confirming the deal.
“I’ve always said we’d love to bring Stargate to Europe if the conditions are right, and we think we’ve found that in Narvik with clean, affordable energy, ideal climate, and great partners in Nscale and Aker. Stargate Norway will help provide the compute power to drive the next wave of AI breakthroughs and economic progress for Europe, in Europe.”
Make sure to follow ITPro on Google News to keep tabs on all our latest news, analysis, and reviews.
MORE FROM ITPRO
Emma Woollacott is a freelance journalist writing for publications including the BBC, Private Eye, Forbes, Raconteur and specialist technology titles.
-
Nearly half of enterprises aren't prepared for quantum cybersecurity threats
News Most businesses haven't even started transitioning to post-quantum cryptography, research shows
-
What businesses need to know about the General-Purpose AI Code of Practice
News General-purpose AI model providers will face heightened scrutiny
-
So much for data sovereignty — AI infrastructure is dominated by just a handful of countries
News Oxford researchers suggest AI infrastructure will decide a nation's global impact in the future, just as oil production has over the last few decades.
-
National Grid investment wing backs AI startups to boost energy efficiency
News National Grid Partners, the venture capital and innovation arm of the UK utility firm, has unveiled plans to invest $100 million in AI startups in the energy field.
-
OpenAI inks $12bn CoreWeave deal in latest move away from Microsoft
News Cloud infrastructure company CoreWeave will supply OpenAI with infrastructure to run the firm's latest models in a deal worth nearly $12 billion.
-
Can AI deliver better broadband?
News AI can help operators build broadband better, in particular if it's used to design networks, according to new research.
-
Analysts think Microsoft's data center rollback is bad news for the AI boom – but the company says not to worry
News Microsoft has reportedly ended leases for a significant amount of data center capacity, sparking debate over whether the AI boom is starting to falter.
-
Meta is building the world’s longest subsea cable: Project Waterworth will span 50,000 km and connect five continents – and it aims to boost global connectivity and AI services
News Meta has announced plans to build the world's longest subsea cable in a bid to supercharge global connectivity and drive AI innovation.
-
UK regions invited to apply for ‘AI Growth Zone’ status
News The UK government has opened up bidding for regions hoping to secure 'AI growth zone' status.
-
Stargate project: OpenAI, Oracle pledge support for $500 billion AI infrastructure drive
News US President Donald Trump has unveiled the launch of the $500 billion Stargate Project to expand US AI infrastructure in collaboration with OpenAI, Oracle, and SoftBank.