Deutsche Telekom invests 250 million euros in artificial intelligence in Munich
Deutsche Telekom is upgrading its Munich-based AI data center with a €250 million investment, specifically integrating Nvidia Blackwell B300 GPUs to reach 20 megawatts of capacity. The facility, which launched in Februa
Deutsche Telekom is upgrading its Munich-based AI data center with a €250 million investment, specifically integrating Nvidia Blackwell B300 GPUs to reach 20 megawatts of capacity.
The facility, which launched in February, serves industrial AI use cases including robotics training, digital twin simulations, and large-scale model processing.
This move highlights the company's commitment to industrial-grade infrastructure in Europe.
The facility has been operating since February and already has nearly 10.000 processors. The chips offer manufacturers the computing power to train robots, simulate trucks and factories, and run artificial intelligence models using proprietary industrial data. Europe has lagged behind in previous waves of artificial intelligence and consumer online platforms, but Germany believes its strong industrial base can give it an advantage in this area.
With the new chips, the facility’s energy capacity will reach 20 megawatts. That’s double the typical demand of a conventional data center, but still well below the 100-plus megawatts consumed by the largest super-sized facilities. The new funding comes on top of the roughly 1 billion euros that the company and its partners have already committed to building Germany’s first industrial AI factory.
"Germany should not just be a user of artificial intelligence, but should create value and prosperity itself," said the company's CEO, Tim Höttges.
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Despite the importance of these digital infrastructure projects, the economics of construction are proving complex. Deutsche Telekom has moved to add its rare, high-end Blackwell processors that were in high demand, while also delaying the installation of Nvidia RTX chips, whose utilization was limited to around 40% in May despite initial expectations for industrial AI.
This situation highlights a key challenge for Europe in the field of artificial intelligence. Although the region needs much more computing power overall, providers are forced to guess which of the rapidly evolving chips customers will ultimately prefer and how much they are willing to pay for them.
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Originally published by Dev.to AI. Aggregated on AIWithGhost for educational purposes — full credit and traffic to the original publisher.