Published by Global Banking & Finance Review®
Posted on August 7, 2025
2 min readLast updated: January 22, 2026
Add as preferred source on GoogleDeutsche Telekom partners with Nvidia and Brookfield to build an AI data centre in Germany, aiming to establish a leading AI gigafactory in the EU.
(Reuters) -Deutsche Telekom is partnering with Nvidia and Canadian private equity fund Brookfield in a bid to build one of the EU's AI "gigafactories" in North Rhine-Westphalia, Germany, its chief executive said on Thursday.
"We have partnerships with Brookfield and also with Nvidia – these are our big partners for this gigabit factory," CEO Tim Hoettges said in a call with reporters following the company's second quarter results.
Although discussions with North Rhine-Westphalia about building the data processing center in the state are ongoing, a final decision has yet to be made.
"This is where we currently see our factory. But, of course, that could still change during the selection process," Hoettges said, adding that the company would proceed as quickly as possible once a decision is reached.
The company is looking at existing production sites where electricity and water regulatory approvals are already in place, Hoettges said.
"Discussions are happening here, for example with RWE," he said.
In May, the Bonn-based company said it had teamed up with SAP, web hosting firm Ionos, and unlisted retailer Schwarz, but in June it was reported the companies would submit separate EU bids instead.
Hoettges dismissed media reports that it had been in talks to join such a consortium.
"It's a good thing that there is competition in Germany," he said.
(Reporting by Marleen Kaesebier and Maria Rugamer in Gdansk; Editing by Matt Scuffham)
Artificial intelligence (AI) refers to the simulation of human intelligence in machines programmed to think and learn, enabling them to perform tasks that typically require human intelligence.
A gigafactory is a large-scale manufacturing facility designed to produce batteries or other components at a massive scale, often aimed at reducing costs and increasing efficiency.
A data center is a facility used to house computer systems and associated components, such as telecommunications and storage systems, providing critical infrastructure for data processing and storage.
Private equity refers to investment funds that buy and restructure companies not listed on public stock exchanges, often aiming for long-term growth and profitability.
Explore more articles in the Finance category
