German start-up plans 30-megawatt AI data centre in boost to sovereign control

German Startup Polarise Plans 30MW AI Data Centre in Bavaria by 2027

Polarise’s Expansion and the Push for AI Sovereignty in Germany

By Hakan Ersen

Overview of the Project

FRANKFURT, March 10 (Reuters) - German start-up Polarise plans to build a new 30-megawatt artificial intelligence data centre that would double Germany's domestically-run computing capacity as European nations push to gain more control over critical tech infrastructure.

The facility, set to come online in the Bavarian town of Amberg in mid-2027, could eventually expand to 120 MW, the company told Reuters.

Current AI Data Centre Capacity in Germany

AI data centres in Germany boasted total capacity of 530 MW at the end of last year, according to figures from German lobby group Bitkom. Much of that, however, was operated by non-German providers.

European Push for Data Sovereignty

European countries are pushing for more sovereign control over data and the infrastructure required for AI due to global tensions - from tariffs to armed conflict - as well as sharply diverging rules around online content.

Investment and Financial Details

First-Stage Costs in 'Triple-Digit Million Euro Range'

FIRST-STAGE COSTS IN 'TRIPLE-DIGIT MILLION EURO RANGE'

The plans for what would be one of Germany's largest data centres have not been previously reported. Large technology companies like Google and Amazon's AWS typically run data centres of around 100 MW or more.

Investment Volume and Funding Sources

Polarise, which operates 13 data centres in Germany and abroad, declined to give details on the size of the required investment.

"The final investment volume depends heavily on how many customers install their own servers or rent computing power," said Marc Gazivoda, Polarise's marketing director, adding that it did not receive state subsidies and investments could vary.

A source close to the company said the first stage of the project would cost in the "triple-digit million euro range", which includes the main infrastructure but not the chips themselves. The final cost would depend on the number of chips required and their specific types, the source said.

Comparison with Previous Projects

A 12-MW data centre opened by Polarise in Munich last month cost 1 billion euros ($1.16 billion), according to an estimate by Deutsche Telekom. That facility already doubled Germany's existing locally-operated capacity.

Energy Considerations and Sustainability

Rising Energy Costs

With oil prices shooting above $100 per barrel, the cost of energy for power-hungry data centres is increasingly in focus.

Renewable Energy Initiatives

Polarise said its partner WV Energie will install a wind and solar power plant for the centre as well as batteries for temporary storage of electricity.

($1 = 0.8640 euros)

(Reporting by Hakan Ersen; Writing by Miranda Murray; Editing by Joe Bavier)