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Deutsche Telekom launches industrial AI factory in Munich

Deutsche Telekom noted that the infrastructure is built on nearly 10,000 Nvidia Blackwell GPUs

In sum – what to know:

AI factory – Built with nearly 10,000 Nvidia Blackwell GPUs for sovereign AI workloads across industry, research and government.

Sovereign ‘stack’ – Telekom and SAP provide a full-stack platform combining infrastructure, cloud services, and enterprise AI applications.

European LLM – SOOFI aims to develop a 100-billion-parameter open-source model trained and operated entirely within Europe.

German carrier Deutsche Telekom has launched its Industrial AI Cloud in Munich, a facility aimed at providing sovereign computing capacity for artificial intelligence workloads across industry, research, and the public sector. The project was developed over the past six months with Nvidia and data center partner Polarise.

Located in Munich’s Tucherpark, the site is positioned as one of Europe’s largest AI facilities. Several organizations are already using the computing resources, including robotics firm Agile Robots and engineering simulation company PhysicsX. According to Deutsche Telekom, the system is currently operating at more than one-third of its capacity.

The German operator also noted that the infrastructure is built on nearly 10,000 Nvidia Blackwell GPUs, including DGX B200 systems and RTX Pro server GPUs, delivering up to 0.5 exaflops of computing performance. The facility is operated under German data-protection and security requirements, Deutsche Telekom added.

The AI factory also underpins the so-called “Deutschland Stack,” developed jointly by Deutsche Telekom and SAP. T-Systems provides the infrastructure and platform layers, while SAP supplies the business applications and AI software components. The aim is to offer a full-stack environment for enterprise and public-sector AI deployments, according to the telco.

Siemens is among the industrial partners integrating its simulation portfolio into the cloud, enabling digital-twin and GPU-accelerated engineering workloads. The facility is also intended to support start-ups and research institutions that require high-performance computing resources.

One of the first major projects hosted at the site is SOOFI, a research initiative to develop a European open-source language model with around 100 billion parameters, trained and operated entirely within Europe, the company added.

Deutsche Telekom plans to begin construction in 2026 on a large-scale AI data center as part of its push into AI infrastructure, the company’s CEO Tim Höttges previously said in a conference call with investors.

The facility, being developed with Nvidia and investment firm Brookfield, is intended to support what the partners have described as the world’s first industrial AI cloud for European manufacturers.

In June 2025, Deutsche Telekom first confirmed it was working with Nvidia to build Europe’s “first industrial AI cloud,” specifically to serve manufacturing companies in Germany and mainland Europe.

ABOUT AUTHOR

Juan Pedro Tomás
Juan Pedro Tomás
Juan Pedro covers Global Carriers and Global Enterprise IoT. Prior to RCR, Juan Pedro worked for Business News Americas, covering telecoms and IT news in the Latin American markets. He also worked for Telecompaper as their Regional Editor for Latin America and Asia/Pacific. Juan Pedro has also contributed to Latin Trade magazine as the publication's correspondent in Argentina and with political risk consultancy firm Exclusive Analysis, writing reports and providing political and economic information from certain Latin American markets. He has a degree in International Relations and a master in Journalism and is married with two kids.