Deutsche Telekom Expands Munich AI Factory to 20 Megawatts

Deutsche Telekom will expand its artificial intelligence (AI) data centre in Munich to 20 megawatts after the first phase of the facility was fully booked within seven months of opening, the German telecoms group announced on Monday (Nov 9).

Chief executive Tim Höttges made the announcement at a company press conference in Munich. The company said it is investing nearly another quarter of a billion euros in the site, which Mobile Europe and MarketScreener reported as about EUR250 million.

The expansion at the Tucherpark facility, which Telekom calls its Industrial AI Cloud or “AI factory”, will add Nvidia Blackwell Ultra B300 graphics processors alongside the existing Nvidia Blackwell B200 systems. Telekom said this doubles the number of chips in that class at the company. The site will also keep using Nvidia RTX PRO 6000 Blackwell Server Edition processors.

Demand from industry

The Munich AI factory only went live in February 2026. According to Telekom, the first phase raised available AI computing capacity in Germany by 50 per cent and was fully booked seven months later, prompting the company to begin planning further expansion stages in May.

Telekom named Currenta, Siemens, Synopsis, Agile Robots, Wandelbots, PhysicsX, Noxtua, EDAG and Soofi among the companies and institutes already using the infrastructure for industrial AI, robotics, simulations and language models. Ferri Abolhassan, a Telekom board member and chief executive of T-Systems, said industrial firms such as Siemens and Daimler Truck were already on the platform and that a strong project pipeline pointed to further demand.

“Germany must not only be a user of AI,” Höttges said, adding that the country must also create value and prosperity itself.

Federal Economy Minister Katherina Reiche said in the company statement that Telekom was doubling the facility’s capacity to 20,000 graphics processing units. Federal Digital Minister Karsten Wildberger said the government would do its part to help make further such projects possible.

Energy use and heat

Telekom said the Munich facility has a power usage effectiveness (PUE) value of 1.2, meaning it needs less than 1.2 kilowatt-hours of electricity, including cooling and other infrastructure, for every kilowatt-hour used by its computing equipment.

The company said waste heat from the data centre will in future supply the entire Tucherpark district.

What’s next

Telekom said it is in intensive talks with partners on expanding its commitment in Bavaria further. It said any such project depends on sustainable financial conditions, reliable financing and an economically viable model, and that no final investment decision has been made.

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