Nvidia is playing fast and loose in the war chest as it appears to be gaining momentum as the consensus leader of the ai boom.
Company on Tuesday enter A 1 billion ($ 1.15 billion) with Deutsche Telekom to set up an “AI factory” in Munich that aims to expand the power of AI 50% by 50%.
Called the “Industrial Ai Cloud,” the project will use more than 1,000 Nvidia DGX B200 systems and RTX Pro servers with up to 10,000 Blackwell GPUs to provide a wide range of German AI and services.
Deutsche Telecom said the initial partners of the project include agile robots, which install server racks in facilities, which will use data centers to provide data infection “in the country” on users and companies. The telco also describes digital and physical based twins as use cases for industrial companies.
The Telecom company said it will provide the physical infrastructure for the project, while SAP will provide the business technology platform and applications.
The partnership comes at a good time for the European technology industry Call on EU lawmakers To reduce reliance on foreign infrastructure and service providers, and Foster chose a homegrown alternative. At the same time, technology companies have criticized Bloc’s approach to managing AIargued that the rule was merely an innovation.
EU earlier this year committed € 200 billion To set up “Gigafkactories AI” on the continent, focusing on industrial applications and missions. ” But funding for AI initiatives in the European Union has been lower than in the US, where companies like Nvidia, Microsoft, Google, and Oracu are pumping in large data centers and services to support AI models and services.
Deutsche Telekom noted that this project, expected to start operations in early 2026, is separate from the EU gigfactory initiative.
“Mechanical engineering and industry make this country strong,” said Tim Höttges, CEO of Deutsche Telekom. “But here it is also challenged. AI is a huge opportunity. It will help improve products and strengthen European power.”

