SoftBank says it will invest up to €75 billion to build French data centers

SoftBank Announces Massive €75 Billion AI Data Center Plan in France

SoftBank Group has announced a plan to invest up to €75 billion (approximately $87 billion) to construct and operate a new fleet of AI-focused data centers in France. The investment marks one of the largest single commitments to European AI infrastructure to date and signals SoftBank's strategy to build out the physical capacity required to power next-generation artificial intelligence models. As both an investor in and a customer of OpenAI, this move solidifies the firm's deep integration into the AI supply chain.

Investment Details and Phase One Rollout

The long-term objective is to add significant computational power to the European grid. SoftBank stated the funding is intended to develop and operate up to 5 gigawatts of additional data center capacity. The initial phase of the project is already mapped out with clear regional and technical goals.

• Total Investment: Up to €75 billion
• Total Capacity Goal: 5 gigawatts
• Phase One Target: 3.1 gigawatts by 2031
• Phase One Locations: Dunkirk (Loon-Plage), Bosquel, and Bouchain in the Hauts-de-France region

Navigating Global Infrastructure Challenges

The major investment in France arrives as data center construction in the United States faces increasing local opposition over environmental impact and strains on the electrical grid. This contrasts with the European project's reception, with French economic minister Roland Lescure stating the announcement supports President Emmanuel Macron’s ambition to position France as a leading AI destination. This move follows SoftBank's recent plans to build a large data center in Ohio, which will be powered by a new 9.2 gigawatt natural gas plant, highlighting the complex energy considerations involved in global AI infrastructure expansion.

SoftBank's massive capital allocation into French data centers, despite growing regulatory and environmental headwinds for such projects in the U.S., indicates a strategic pivot to secure power and land in markets with strong government support, effectively de-risking its long-term AI infrastructure portfolio.