Our Industrial AI Cloud is live—secure, reliable, and cutting-edge. With an AI stack “Made in Germany,” designed for Europe. Built in record time. Open to industry, public sector, defense, and science.
A powerful moment captured in action: Agile ONE, a next-generation humanoid robot, officially started operations by pressing the launch button for us. In record time, we have opened our AI Factory in Munich. Joining us on this milestone occasion were esteemed technology partners such as NVIDIA, SAP, Siemens, and Polarise, along with early customers from the industry and science sectors. We were also honored by the presence of high-profile political dignitaries, including Germany’s Vice Chancellor Lars Klingbeil, Bavarian Premier Markus Söder, and Munich’s Mayor Dieter Reiter.”
Why is this moment so historic? Because Telekom and T-Systems, together with our partners, are heralding the next industrial revolution. Every previous revolution has propelled the industry forward: steam engines, assembly lines, computers. Now, we're advancing to the next level. Our Industrial AI Cloud signals the beginning of the age of industrial AI—a transformation that promises to be bigger than any previous wave of AI technology. It’s a true game-changer, boosting cost efficiency, innovation, speed, revenue, and growth.
Germany is a country of manufacturing and processes. With 25% of our economic output derived from the industrial sector, AI has the potential to massively impact productivity. From production optimization and predictive maintenance to robotics and reshoring supply chains, the possibilities are vast. I firmly believe that Germany can compete on costs globally, especially by leveraging robotics—an area we excel in. Additionally, AI enables automation across nearly every process, unlocking unparalleled efficiency. Germany boasts an extensive repository of high-quality industrial data. The missing puzzle piece has been an infrastructure that can utilize this data within our legal framework—securely, sovereignly, and at scale.
Our AI Factory directly addresses this need. With the Industrial AI Cloud, we are now able to unlock this “data treasure” together. This marks the first time the German industry, public sector, and defense have access to a complete, secure, and sovereign AI stack. It’s purpose-built with robust connectivity, top-tier security standards, Zero Outage reliability, and designed to empower customers ranging from large enterprises and SMEs to startups, government agencies, and research institutions. Whether deployed in factory floors, workshops, logistics centers, citizen service offices, or labs, industrial AI will create tangible results: autonomous manufacturing, warehouse optimization, digital twins, advanced simulations, and engineering breakthroughs—all of these are now within reach.
But this isn’t just about building a new data center or deploying cutting-edge NVIDIA chips. We’ve built Germany’s first AI Factory tailored for manufacturing, public sector, defense, and science. Together with SAP, Siemens, and other partners, we offer something utterly unique: a fully integrated, secure, and sovereign AI stack—covering connectivity, hardware, software, and business applications. What we’ve developed here is truly one of a kind—Germany’s, Europe’s, and even the world’s benchmark project.
“This is an impressive start for fostering private investments,” remarked Finance Minister and Vice Chancellor Lars Klingbeil during our press conference. “Germany has set a defining marker for its AI ecosystem, one that benefits innovative businesses while strengthening our digital sovereignty.”
How is our Industrial AI Cloud structured? Telekom and T-Systems are responsible for the foundational infrastructure and platform layer, including the T Cloud. Building on this, SAP delivers its Business Technology Platform (BTP), which powers cutting-edge business applications designed for B2B, government, and national security—complete with state-of-the-art AI services.
Siemens Simcenter is also a key part of our offering, enabling industrial companies to leverage precision simulations and digital twin technology to virtually develop, test, and bring products to market much faster—saving significant costs in the process. In the coming months, we’ll also add large-scale solutions such as the Digital Twin Composer, GPU-powered simulations, and AI copilots to deliver even more value to our customers.
This “tech toolbox” provides all the technical components customers need for their products. We offer Infrastructure-as-a-Service, Platform-as-a-Service, and Application-as-a-Service. Ultimately, this is AI-as-a-Service from end to end. Built in Germany for a sovereign Europe. Operated within our proprietary T Cloud ecosystem, encompassing T Cloud Public, T Cloud Private, T Cloud Sovereign, and now the new T Cloud Industrial AI.
Our customers can leverage this stack in three ways. They can simply use the raw AI compute power of 10,000 NVIDIA GPUs of the latest Blackwell generation. Alternatively, they can combine these GPUs with pre-trained AI models (Inference) available from our T Cloud. Or, they can opt for fully managed services paired with professional AI solutions deployed directly on our GPU clusters.
In addition to our own AI Foundation Services, we’re partnering with companies like PhysicsX to offer advanced engineering services. For example, we help automotive and aerospace manufacturers design, simulate, and optimize complex systems faster and more efficiently, while delivering higher performance. The result? Faster innovation without compromising control over critical business data.
Our clients can run virtual wind tunnel tests for aircraft, simulate automotive crash scenarios, model digital twins of factory sites, and design robotic control systems. They can also accelerate drug development, optimize emergency room workflows with AI, automate citizen services, train and deploy custom AI models, and much more. Any application requiring high AI compute power can be accessed securely, efficiently, and with confidence.
The decisive point, however, is the end-to-end solution. Our Industrial AI Cloud is not merely a basic GPU factory—it provides our customers with access to a complete AI ecosystem. In addition to the already mentioned partners, this includes L3S/SOOFI (joint development of a sovereign European AI language model with 100 billion parameters), Perplexity (AI chatbots), Wandelbots (software-defined automation of industrial robots), Quantum Systems (AI for unmanned aerial systems), and EY (AI strategy consulting). Together, we have created a variety of use cases for German industry and public administration in the shortest possible time. This results in a comprehensive value creation system that significantly accelerates their digital transformation. We create value through cost reduction, faster processes, rapid innovation, increased revenue, and improved customer experience.
Our Industrial AI Cloud is not merely a simple GPU factory. It provides our customers with access to a complete AI ecosystem.
Ferri Abolhassan, Board Member Deutsche Telekom and T-Systems CEO
Think of our AI Factory like a supermarket — the first European marketplace offering a complete AI stack. It’s essentially “AI to go — Made in Germany.” Customers can pick exactly what they need to accelerate their business. Whether it’s a simple solution or fully integrated offerings, we provide everything—from basic components to fully prepared solutions in premium quality.
We’ve equipped the AI Factory with over a dozen SuperPods—essentially self-contained data centers within a data center. Each SuperPod bundles 512 NVIDIA GPUs using InfiniBand, a high-speed networking technology, to form powerful compute units. This modular setup ensures precision-tailored performance, scalability, and flexibility for diverse customer requirements.
Large AI models with 700 billion or more parameters can now be trained efficiently in these virtual GPU clusters—and no one else in Germany currently offers this capability. Our GPU farm is uniquely equipped for training and operating large-scale language models, thanks to the unmatched power of our AI stack.
Cutting-edge technology doesn’t stop with AI compute. Security at the AI Factory is delivered to the highest Telekom standards, backed by decades of experience. Our Telekom Security Operations Center is one of Europe’s largest and most advanced cyber-defense facilities. Environmental sustainability is equally central to our operations. Since 2021, all Telekom data centers globally source 100% renewable energy—including in Munich. For cooling, we even use water from the nearby Eisbach river, ensuring top-tier energy efficiency with a PUE (Power Usage Effectiveness) value of just 1.2—far better than the industry average of 1.5.
I am incredibly proud of our team at Telekom, T-Systems, and our partners, including NVIDIA, SAP, Siemens, and Polarise, for bringing the Industrial AI Cloud to life in record-breaking time. My gratitude goes to the combined efforts of over 80 skilled colleagues and external contributors! Together, we’ve achieved what seemed impossible—transporting about 250 truckloads of AI equipment through narrow tunnels into a data center buried deep underground. My utmost respect for your dedication!
This project is more than an achievement—it’s a trailblazer for our “Made for Germany” initiative to strengthen Germany’s economic future and drive digital transformation across industries and public sector. We’ve pioneered industrial AI “Made in Germany” and established a foundation for its far-reaching impact. Now, it’s up to industry, research, and government organizations to seize these opportunities.
Feel free to reach out to us!
