Nscale Global Holdings and Microsoft have signed a binding five-year customer agreement marking what is believed to be a milestone in the development of advanced European owned hyperscale AI infrastructure.
At a contract value of approximately $US 6.2 bn, the agreement secures Microsoft’s access to high-performance AI compute capacity to be delivered in staged deployments beginning in 2026. Located in Narvik, northern Norway, the project is intended to deliver the most advanced AI infrastructure, powered by secured grid capacity and entirely renewable electricity, initiating ‘commercial execution of scalable, renewable infrastructure for AI across the continent’.
Josh Payne, founder and CEO of Nscale commented: “This agreement … establishes a new benchmark for AI infrastructure. Delivering one of the largest GPU (graphics processing unit) deployments in the world reflects the unprecedented demand for compute and confirms Narvik’s role as a strategic hub for AI in Europe. It’s a powerful testament of Nscale’s approach – bringing together data centres, GPUs and orchestration to accelerate access to AI compute while ensuring efficiency, compliance and sustainability.”
Øyvind Eriksen, president and EO of Aker said: “This agreement with Microsoft – a long-standing partner to Aker – is a milestone for the joint venture with Nscale and for Norway’s role in enabling sovereign AI infrastructure. It underscores our ambition of converting clean hydropower into strategic digital capacity, and positions Narvik as a launchpad for Europe’s sovereign cloud. With trusted infrastructure, renewable power, and industrial readiness, Norway is stepping into a new era of value creation – one that is digital, secure, and globally relevant.”
The Aker-Nscale joint venture is expected to be formally established during the third quarter of 2025, subject to fulfilment of closing conditions.
