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SoftBank's France Data Center Gambit

Financial Times Companies •
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France is building Europe's largest data center with SoftBank pledging €75 billion for the 5.1 gigawatt facility. The project aims to boost AI sovereignty but relies heavily on US-designed chips and hyperscalers who dominate three-quarters of Europe's cloud market.

The ambitious venture requires another €170 billion beyond SoftBank's commitment. France secured the Japanese investment while the UK missed similar opportunities due to high energy costs and regulatory hurdles. The first phase isn't slated until 2031, leaving room for technological disruption.

The project faces significant uncertainties as AI architecture evolves. Companies like China's DeepSeek prove AI doesn't require massive compute power, while inference moves to devices like smartphones. Despite these challenges, France has secured substantial funding that positions it competitively in the AI infrastructure race.