Nebius plans major AI factory in Europe as region races for compute

Amsterdam-based Nebius has unveiled plans to build a large AI data centre and “AI factory” in the Béthune area near Lille, northern France, proposing a 240-megawatt facility that the company says would rank among Europe’s largest once complete. The move is pitched as a response to surging demand for high-performance compute from AI developers and enterprises.

According to company statements and filings, Nebius has secured municipal development approvals and is progressing industrial incentive plans that would allow the construction of a large-scale AI campus capable of hosting significant GPU clusters and supporting full-stack AI operations. The company, listed on Nasdaq under NBIS, has also outlined broader plans to expand GPU capacity across Europe and other regions as part of a multi-site growth strategy.

The announcement comes amid a continental push to secure sovereign compute capacity. Major technology partners, notably NVIDIA, have been central to multiple AI factory initiatives across Europe, including large deployments tied to national strategies. Projects such as Deutsche Telekom’s Industrial AI Cloud exemplify how public and private actors are racing to bring high-density AI compute onshore for industry and research users.

Beyond the immediate infrastructure build-out, these projects speak to wider policy goals around digital sovereignty and data protection. Local investments in data centres can have sizable economic spillovers — from construction employment to services and long-term tech cluster development — though they also introduce challenges around energy sourcing, permitting and capital intensity that can affect timelines and returns.

Market observers expect demand for dedicated AI compute to remain strong and for competition among specialized infrastructure providers to intensify. For Nebius, execution risk will hinge on securing long-term customer commitments, managing energy and operational costs, and delivering the planned capacity on schedule. If successful, the Béthune project could materially strengthen the company’s European footprint and support broader continental ambitions for AI capability.