Jun 10, 2026

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Europe's largest AI datacenter is being built in Norway: Microsoft and OpenAI will be used; The location was chosen due to the cold weather and cheap electricity

Due to the growing demand for Artificial Intelligence (AI), there is a rush for data centers around the world. In the same series, the British Startup 'Nscale' is building a huge data center in Narvik, Norway. This project, being built near the Arctic Circle, will be one of the largest AI data centers in Europe. Location Advantage Narvik has a crisp cold, which will help keep the data center's hot chips cool naturally. June-July is the hottest month here, with maximum temperatures hovering between 15 and 17 degrees Celsius. The average temperature in winter hovers around -4 to -6 degrees. Cheap electricity Norway is rich in hydropower and cheap energy is available. Electricity here costs Rs 3-4 crore. It is per unit, which is much cheaper than in Europe. When fully operational, the centre will consume 520 megawatts of electricity, which is more than the total consumption of all existing data centers in Norway. It will be powered by Nvidia's new Vera Rubin processor. The total cost of the project is estimated to be more than Rs 9.57 lakh crore, with 60-80% of the cost being from chips. The centre will be used by 'Microsoft' and 'OpenAI'. It will be rolled out with more than 1 lakh advanced graphics processing units by the end of the year.

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