€1 billion AI cloud in Munich will add up to 10,000 Nvidia chips and boost Germany’s computing power by about 50 percent by early 2026

Deutsche Telekom and Nvidia plan a €1 billion Industrial AI Cloud in Munich, targeting a service start in Q1 2026. The operators say the facility will raise available AI computing power in Germany by around 50%, a scale that directly affects how fast local firms can train and run large models.

The project will retrofit an existing site and install more than 1,000 DGX B200 systems and RTX Pro Servers, scaling to as many as 10,000 Blackwell class GPUs. The infrastructure is aimed at industrial workloads such as simulation and digital twins with a design that keeps sensitive data inside national borders. The partners are working toward initial capacity online in the first quarter of 2026 with room to expand after that.

Europe has pushed for digital sovereignty and locality for regulated sectors. Locating the build in Munich shortens supply chains for manufacturers and aligns with regional data rules while adding national capacity during a period of high demand for advanced accelerators. The companies describe a refurbished site and a plan to deliver one of the largest AI facilities in the region, sized to bring thousands of next generation GPUs to German customers.

The numbers tell the story. €1 billion of spend. Up to 10,000 Nvidia GPUs. Start of operations in Q1 2026. An expected about 50% boost to national AI compute. For German industry, this converts scarcity into a dated capacity plan inside the country. For Europe, it is a concrete step toward local scale that supports larger models and steadier service without routing data abroad.