Deutsche Telekom is doubling the chip count at its Munich AI factory, adding Nvidia Blackwell Ultra B300 GPUs in an expansion worth just under €250 million. CEO Tim Höttges announced the build-out on Monday at a company press conference in Munich. The expansion lifts the site's capacity to 20 megawatts.
“Germany must not only be a user of AI; it must also create value and prosperity itself.”— Tim Höttges, CEO of Deutsche Telekom
The new B300 systems will sit alongside the Nvidia Blackwell B200 hardware already running at the facility, doubling the number of chips in that class at Telekom. The AI factory, which Deutsche Telekom calls its Industrial AI Cloud, will also keep running Nvidia RTX PRO 6000 Blackwell Server Edition GPUs.
Demand set the pace. The Industrial AI Cloud went live in February 2026 at Munich's Tucherpark, and Telekom said its first expansion stage raised available AI compute in Germany by 50 percent. That capacity was fully booked about seven months later, and planning for further stages began in May.
Key facts
- 01Deutsche Telekom is investing just under €250 million to expand its Munich AI factory with Nvidia Blackwell Ultra B300 GPUs.
- 02The expansion doubles Telekom's chips in that class and lifts the site's capacity to 20 megawatts.
- 03The Industrial AI Cloud went live in February 2026 and its first stage was fully booked about seven months later.
- 04Siemens and Daimler Truck use the platform, which Telekom says runs at a power usage effectiveness of 1.2.
- 05Telekom is exploring a further expansion in Bavaria but has made no final investment decision.
Siemens and Daimler Truck are named as industrial users. Telekom also lists Currenta, Synopsis, Agile Robots, Wandelbots, PhysicsX, Noxtua, EDAG and Soofi among the companies working on the platform. Soofi's German-language model is being trained on Telekom infrastructure, and the site also runs Nvidia's open Nemotron model.
Workloads span training and inference for large models, AI reasoning, agentic applications, digital twins, simulation and robotics, built on Nvidia CUDA-X and the Omniverse library. Telekom said physical AI tests of how robots, products or production lines respond under realistic conditions can run in hours instead of weeks or months.
“Industrial AI is the opportunity of the century—for our customers, industry, and our entire country.”— Roland Busch, CEO of Siemens
Two federal ministers attended the announcement. Digital Minister Karsten Wildberger said chips from Dresden startup Sparxity will also be used at the site in the future, as a step toward technological sovereignty. Economy Minister Katherina Reiche put the expanded site at 20,000 graphics processing units.
“Here in Munich, Deutsche Telekom is creating exactly these conditions and doubling its capacity to 20,000 graphics processing units.”— Katherina Reiche, Federal Minister for Economic Affairs and Energy
On efficiency, Deutsche Telekom said the Industrial AI Cloud runs at a power usage effectiveness of 1.2, meaning it needs less than 1.2 kWh of electricity per kWh of IT load. The data center, housed in a revived 1960s building, runs entirely on renewable energy according to Telekom, draws cooling water from the nearby Eisbach, and will supply its waste heat to the entire Tucherpark district.
Bavarian Minister-President Markus Söder praised the project as an investment made without public funds. Reiche warned against blocking new large facilities, pointing to the recent US midterm elections, where data centers became a campaign issue and many municipalities imposed moratoriums or building conditions.
Telekom is exploring a further expansion in Bavaria with partners. The company said discussions are intensive but no final investment decision has been made, and that any next stage depends on sustainable financial conditions, reliable financing and an economically viable model.
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