Nvidia-backed AI infrastructure company Nscale has partnered with British telecom giant BT to expand artificial intelligence data centre capacity in the UK, marking a significant step in the country’s push toward sovereign AI infrastructure. The collaboration will see the deployment of up to 14 megawatts of AI data centre capacity across three existing BT sites.
The initiative is designed to support both public and private sector organizations by providing access to advanced AI computing resources within the UK. By leveraging Nvidia-powered infrastructure, the project aims to deliver high-performance computing capabilities while ensuring data remains within national borders, addressing growing concerns around data security and regulatory compliance.
BT will contribute its nationwide network infrastructure and connectivity, forming the backbone of the new AI facilities. Meanwhile, Nscale will develop and operate the data centres, using its modular, scalable approach to AI infrastructure. This partnership reflects a broader trend where telecom companies and AI specialists collaborate to deliver integrated, high-capacity computing solutions.
The expansion builds on BT’s sovereign data platform, launched to ensure that sensitive data can be stored and processed domestically. With increasing demand for secure and resilient digital infrastructure, the platform enables organizations to run AI workloads locally while meeting strict data residency and compliance requirements.
Nscale, founded in 2024 and backed by Nvidia, has been rapidly scaling its operations in the AI infrastructure space. The company recently raised $2 billion in funding, reaching a valuation of $14.6 billion, highlighting strong investor confidence in the growing demand for AI data centres.
The project also aligns with the UK government’s broader strategy to strengthen domestic AI capabilities and reduce reliance on foreign-controlled infrastructure. Officials have emphasized that investments in AI data centres are critical to enabling businesses and public services to adopt AI at scale while supporting economic growth and technological independence.
Overall, the partnership between Nscale and BT underscores the rising importance of sovereign AI infrastructure in the global technology landscape. As demand for AI computing continues to surge, such collaborations are expected to play a key role in building secure, scalable, and locally controlled AI ecosystems.
