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SoftBank’s €75 Billion French Bet Sets New Bar for AI Investment Outside the US

Prime Highlights

  • Son said France’s industrial strength and national ambition make it a natural AI infrastructure leader in Europe.
  • Macron pitched France’s nuclear power capacity and fast-track approvals to Son at their Tokyo dinner meeting.

Key Facts

  • SoftBank is a Japanese technology and investment group founded by Masayoshi Son, with major stakes in AI, semiconductors, and global infrastructure.
  • The planned 5-gigawatt French complex would equal the output of five nuclear power stations and represent SoftBank’s largest investment outside the US.

Background

SoftBank has committed up to €75 billion to build a massive network of AI computing clusters in France, marking the largest AI investment the Japanese technology group has made outside the United States.

The announcement gives a significant boost to French President Emmanuel Macron ahead of his annual Choose France business summit. The deal took shape after Macron and SoftBank founder Masayoshi Son met over dinner in Tokyo in early April, where the president made the case for France’s nuclear energy capacity and its streamlined approval process for AI facilities.

SoftBank’s initial phase involves leading a €45 billion investment to build 3.1 gigawatts of computing capacity in the northern Hauts-de-France region by 2031, with a further 2 gigawatts planned thereafter. The main feature of Dunkirk is the fact that it will be a joint project between SoftBank and Schneider Electric for AI infrastructure and robot assembly production plant, located at the right point that will cater to London, Brussels, and Amsterdam markets.

In case the whole 5 gigawatts facility is constructed, it will be equal in capacity to the output of five nuclear plants, which is equal to peak power consumption of New York city.

Son described France as uniquely placed to emerge as a leading AI infrastructure hub in Europe, citing the country’s industrial strength, talent pool, and national ambition.

Industry estimates put the cost of every gigawatt of AI infrastructure at around $50 billion when land, construction, power, and equipment are included. SoftBank is expected to bring in additional financing partners to fund the bulk of the project through debt-based arrangements.

The French project joins SoftBank’s broader AI push, which includes a 10-gigawatt data centre development in Ohio, a 5-gigawatt consortium project in Abu Dhabi, and a major investment commitment to OpenAI.