Deutsche Telekom and Schwarz Group Plan Joint AI Data Centre in Germany

Deutsche Telekom and Schwarz Group plan joint AI data centre in Germany

Deutsche Telekom and retail giant Schwarz Group are reportedly collaborating to establish a large-scale “AI gigafactory,” according to German newspaper Handelsblatt.

The proposed facility would be specifically designed to handle the massive computing requirements of artificial intelligence applications. Sources familiar with the discussions told Handelsblatt that the two companies are exploring an application for EU-backed data centre funding.

Earlier this year, the European Commission announced plans to allocate $20 billion to build AI data centres across Europe, aiming to bolster the region’s technological competitiveness against the U.S. and China.

Negotiations between Deutsche Telekom and Schwarz Group are said to be in advanced stages, though no formal agreement has been signed, according to insiders.