Wedoany.com Report-Nov. 5, Deutsche Telekom and Nvidia announced a €1 billion ($1.2 billion) partnership to launch an artificial intelligence (AI) cloud designed for industrial applications, the German telecom group said on Tuesday. The project is scheduled to go live in the first quarter of 2026 and will be operated from a refurbished data center in Munich. The facility will host up to 10,000 Nvidia Blackwell graphics processing units (GPUs), with SAP providing the software stack for the system.

NVIDIA CEO Jensen Huang and Tim Hoettges, CEO of Deutsche Telekom introduce their "Industrial AI Cloud" project during a press conference in Berlin, Germany, November 4, 2025.

Deutsche Telekom CEO Tim Hoettges said during a press conference that the AI cloud would allow companies to access computing power as needed to develop advanced industrial applications. He added that the platform would also serve public service institutions and the defense sector, broadening its potential user base.

German Minister for Digital Transformation Karsten Wilderberger, who also attended the event, said: “We’ve taken more than 100 companies on board … (and) investments to the tune of 750 billion euros have been promised.” He noted that the initiative aligns with the government’s “Made for Germany” program, which seeks to promote innovation and economic growth through digital transformation.

Hoettges stated that Deutsche Telekom is prepared to expand its investment in the project if adoption levels increase: “If we learn that the industry, the public services are using this infrastructure, Deutsche Telekom is willing to double down on these investments.” Nvidia CEO Jensen Huang also expressed interest in further investment opportunities in Germany, emphasizing the importance of AI infrastructure in driving industrial and technological development.

According to Deutsche Telekom, the AI cloud will support the creation of AI-driven robots for factory automation and the training of large language models. These technologies are expected to help industries improve productivity and efficiency by integrating AI into manufacturing and operational processes.

Among the early adopters of the new platform is Agile Robots, a Germany-based company whose robotic systems are already being used in the construction of the Munich data center. Its CEO, Zhaopeng Chen, said the company plans to leverage the AI cloud to further develop its robotic automation solutions.

German drone manufacturer Quantum Systems also confirmed that it will utilize the cloud to advance the design of air- and sea-based drones for surveillance and related applications. The company said access to scalable computing resources will allow it to accelerate testing and development efforts.

The joint venture between Deutsche Telekom and Nvidia underscores Germany’s growing focus on strengthening its digital infrastructure and expanding its industrial AI capabilities. With major industry players such as SAP and Nvidia involved, the project represents a significant step toward establishing a robust national ecosystem for AI innovation.