Where will the AI gigafactories ultimately be located? We will know that by the end of 2025.
The European Commission has received 76 applications for the construction of so-called AI gigafactories in 16 member states. This means interest in the 20 billion euro fund is greater than expected. The new factories are intended to position Europe as a global player in AI.
AI gigafactories are massive data centers designed for training AI models with hundreds of trillions of parameters, writes The Register. Their construction would require up to three million advanced GPUs, which primarily benefits manufacturers like Nvidia and AMD.
Belgium is a Contender
According to European Commissioner Henna Virkkunen, the many proposals demonstrate that Europe “has built momentum around AI innovation.” Big names like Ionos (Germany) and Telefónica (Spain) have already come forward. Belgium is also a candidate, with potential sites in Charleroi and Zellik.
However, for now, it is only an Expression of Interest. An effective call for projects will only follow at the end of 2025. The proposals help the Commission map the landscape of potential locations.
High Energy Consumption?
Not everyone is a fan of such large factories. In Denmark, politicians fear that the power consumption of an AI gigafactory would overburden the national power grid. Schneider Electric and other infrastructure players, however, see ample opportunities.
With this initiative, Europe aims to close the gap with the US and China. Whether that succeeds depends on more factors than just money. But the intention is clear: Europe wants to play a much larger role in the AI era.