Microsoft has signed a deal to rent $6.2 billion of AI computing power in Norway.
The capacity will be provided by Nscale and Norwegian investment company Aker ASA, reports Bloomberg.
The agreement will run for five years, starting in 2026.
The compute capacity will be powered entirely by renewable energy, and it seems to be from the same data center as announced earlier this year for OpenAI.
Nscale and Aker announced they were developing a data center in Norway for use by OpenAI in July. The site will initially offer 230MW, and could add another 290MW in the future. At the time, Nscale and Aker said it could be used by other customers beyond OpenAI as well. That data center will be located in Kvandal. Nscale also operates a data center in Glomfjord, of which Aker is not a part.
“We are incredibly excited for what this means for our customers, in Norway and across Europe, providing the latest and most advanced AI services from Microsoft,” said Jon Tinter, president of business development and ventures for Microsoft. “It is inspiring to see how Nscale and Aker are building cutting edge, sustainable AI infrastructure, and adding this facility to our comprehensive Microsoft cloud offering in Europe demonstrates our unwavering commitment to customers on the continent.”
Nscale’s founder and CEO, Josh Payne, added: “Delivering one of the largest GPU deployments in the world reflects the unprecedented demand for compute and confirms Narvik’s role as a strategic hub for AI in Europe. It’s a powerful testament of Nscale’s approach – bringing together data centers, GPUs, and orchestration to accelerate access to AI compute while ensuring efficiency, compliance, and sustainability. We are excited to continue scaling our partnership with Aker with this milestone.”
The contract follows a similar deal signed by Microsoft with neocloud Nebius Group earlier this month. Set to span over five years, that deal was valued at $17.4bn, and would be for capacity at Nebius’ new data center in Vineland, New Jersey.
Nscale and Microsoft are also working on a major project in the UK. Announced this week, the two will build a supercomputer with at least 23,000 Nvidia Grace Blackwell Ultra GPUs at Nscale’s planned data center in Loughton, Essex. Shortly after, OpenAI revealed it would take space in several Nscale data centers in the UK for its Stargate project.
Read the orginal article: https://www.datacenterdynamics.com/en/news/microsoft-signs-6bn-deal-to-rent-ai-compute-from-nscale/