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

SoftBank Group has announced plans to invest up to €75 billion (approximately $87 billion) to significantly expand data center capacity in France. The initiative aims to develop and operate up to 5 gigawatts of additional data center infrastructure, with the first phase targeting 3.1 gigawatts in the Hauts-de-France region by 2031. Initial construction will focus on sites in Dunkirk (Loon-Plage), Bosquel, and Bouchain. This investment marks SoftBank’s largest AI infrastructure commitment in Europe, reflecting its strategic focus on supporting artificial intelligence development. The French government has welcomed the announcement, with Economic Minister Roland Lescure highlighting it as a reflection of President Emmanuel Macron’s ambition to establish France as a key player in the AI value chain. The project is expected to bolster France’s position in the global technology landscape by attracting further investment and fostering innovation in AI and data management. SoftBank’s dual role as both an investor in and customer of OpenAI underscores the growing demand for advanced data center capabilities to support AI workloads. This move contrasts with growing opposition to data center construction in the United States, where environmental concerns and the impact on electrical grids and utility prices have sparked debate. Despite these challenges, SoftBank is also pursuing data center development in Ohio, powered by a new 9.2 gigawatt natural gas plant, signaling a broader commitment to expanding infrastructure to meet rising demand for AI and cloud services. The French investment is part of a wider trend of major technology firms ramping up infrastructure to support AI growth amid increasing global competition.