Microsoft Secures AI Infrastructure by Leasing Former OpenAI 'Stargate' Site in Norway

Microsoft has signed a deal to lease 30,000 NVIDIA Vera Rubin GPUs at a data center in Narvik, Norway. The site was originally intended for OpenAI's 'Stargate' initiative, but after negotiations between OpenAI and Nscale fell through, Microsoft expanded its footprint there.

The campus is a 230MW facility, a joint project between Nscale and Norwegian industrial investment firm Aker. It leverages northern Norway's abundant hydropower and cold climate to lower cooling costs, providing renewable-energy-based, low-carbon AI computing.

This additional lease builds on Microsoft's existing $6.2 billion investment commitment to the Narvik site made in late 2025. That earlier deal aimed to secure renewable-energy-based AI computing capacity for European customers, and the Narvik project now stands as one of the largest AI data center undertakings in Northern Europe, targeting a total deployment of 100,000 NVIDIA GPUs.

In context, OpenAI recently also halted its 'Stargate UK' project, citing high energy costs and regulatory uncertainty. Amid this trend, Microsoft and Nscale are reinforcing large-scale regional AI infrastructure supply to meet Europe's demand for sovereign AI.