From Yahoo Finance: 2025-05-27 05:49:00

German companies SAP, Deutsche Telekom, Ionos, and Schwarz are competing for EU support to build an AI data processing center, according to Handelsblatt. The EU plans to fund five data centers with $20 billion to catch up with the U.S. and China in AI development. Challenges include obtaining chips and finding suitable sites.

The consortium is in talks to secure one of the AI gigafactories, aiming to create AI models for the EU. The German government coalition wants at least one center built in Germany. The deadline to express interest to the EU is June 20. Companies like SAP and Deutsche Telekom have not commented on the negotiations.

The project will help the EU develop its own AI capabilities but faces obstacles like chip shortages and energy requirements. The AI data centers are crucial for Europe to stay competitive in artificial intelligence. German Chancellor Friedrich Merz’s conservatives have pledged to support the initiative to boost European innovation.



Read more at Yahoo Finance: German consortium in talks to build AI data centre, Handelsblatt reports