Nscale inks massive AI infrastructure deal with Microsoft

AI hyperscaler startups scale Nvidia has signed a major deal with Microsoft to bring AI hardware to multiple data centers.

The AI ​​cloud provider made the announcement on Wednesday Signed an agreement with Microsoft to bring about 200,000 Nvidia GB300 GPUs to three data centers in Europe and one in the US

These GPUs will be distributed through Nscale-owned operations and a joint venture with investment company Aker, one of Nscale’s investors.

About half of those GPUs, 104,000, will go to a Texas data center leased by Ionic Digital over the next 12 to 18 months. Nscale plans to increase its footprint at this location by 1.2 gigawatts, the company said.

Nscale will deploy 12,600 GPUs at its Start Campus data center in Sines, Portugal, starting in the first quarter of 2026.

The deal builds on previous plans with both Microsoft and Aker regarding data centers in Norway and the UK. Nscale will ship 23,000 GPUS to its Loughton, England campus from 2027, and the remaining 52,000 GPUs to Microsoft’s AI campus in Narvik.

“This agreement confirms Nscale’s place as the partner of choice for the world’s most important technology leaders,” said Josh Payne, founder and CEO of Nscale. Company press release. “Few companies are equipped to deliver GPU deployments at this scale, but we have the experience and built a global pipeline to do so.”

This is a bold claim by Penn, considering that Nscale was founded in 2024 Since its launch, the company has raised more than $1.7 billion from strategic partners including Aker, Nokia and Nvidia. Enscale has also raised from investors such as Sandton Capital Partners, G Square and Point 72. told Payne Financial Times The company is looking for an IPO by the end of next year.

“The speed at which we’ve expanded our capabilities demonstrates both our readiness and our commitment to efficiency, sustainability and delivering the most advanced technology available to our customers. It’s a clear signal that Nscale is setting a new standard for how to deliver the next wave of AI infrastructure,” Payne said in the release.

GPU deals have surged in recent weeks. OpenAI announced it is buying Six gigawatts worth of chips From AMD last week. OpenAI recently signed an agreement with Nvidia where Nvidia will Invest up to $100 billion to the company in exchange for chips worth 10 gigawatts in September.