Microsoft Agrees to Rent Data Center Capacity in Norway

Microsoft signed a deal to rent data center capacity in Norway. It was originally slated for OpenAI as part of its Stargate initiative.

The 230-megawatt AI project in the Narvik, Norway campus builds on a previous $6.2 billion commitment by Microsoft at the same location. The expansion follows the consolidation of the Aker–Nscale joint venture in Norway, with Nscale now solely managing the project.

Executives from both companies stated that the move responds to accelerating demand across Europe for large‑scale, advanced AI infrastructure. While OpenAI originally held discussions to host its AI workloads at the Norway campus, it did not finalise an agreement with Nscale.

Last week, OpenAI said it was pausing development of Stargate UK due to the cost of energy and the regulatory environment. In partnership with Nvidia and Nscale, OpenAI announced plans for Stargate UK in September 2025.