Alphabet Inc.’s Google said on Tuesday it will invest €5.5 billion ($6.4 billion) in Germany over the next four years, deepening its cloud and artificial-intelligence infrastructure footprint as European governments push for larger domestic data-centre capabilities.
The announcement was made in Berlin at an event attended by German federal ministers.
The investment plan includes investment in two data centres in the Frankfurt region, although Google did not provide details on their size or technical specifications.
The move comes as European policymakers pressure global technology companies to expand local computing capacity.
The European Commission has called for the development of so-called AI “gigafactories”—large-scale data centres capable of training and operating advanced AI models.
Frankfurt and Hanau to anchor Google’s infrastructure push
Google said it will continue expanding its existing Hanau data centre, which opened in 2023. It will also build a new data centre in Dietzenbach.
The company highlighted that its German cloud regions now provide access to its latest AI offerings, including Vertex AI with Gemini models, and that it will continue to support sovereign cloud solutions designed to comply with local regulatory and privacy requirements.
According to Google, the sovereign cloud approach ensures German customers are not locked into a single vendor and can customise their deployments in line with national and European compliance standards.
The new Frankfurt-area builds are expected to enhance Google Cloud’s European capacity at a time when corporate and public-sector demand for generative AI infrastructure is rising quickly.
Europe remains one of Google’s most heavily regulated markets, and the company framed the investment as part of its “continued commitment to Europe.”
Big Tech races to build European AI capacity
Google’s pledge follows a wave of recent AI-centred infrastructure commitments across the continent.
Last week, Nvidia Corp. and Deutsche Telekom AG announced a €1 billion AI data-centre project in Munich due to open in early 2026.
Earlier on Tuesday, Microsoft Corp. said it would invest $10 billion in a data-centre hub in Portugal.
Google has also been expanding in the United Kingdom, announcing in September a £5 billion ($6.8 billion) spending plan over the next two years.
Globally, Google parent Alphabet expects capital expenditures to reach $93 billion in 2025, underscoring the scale of investment required to sustain AI growth.
Major office expansions in Munich, Frankfurt and Berlin
Beyond cloud infrastructure, Google is significantly expanding its physical office footprint in Germany.
In Munich, the company is moving forward with a major redevelopment of the historic Arnulfpost building.
The project will create a 30,000-square-meter development centre capable of housing up to 2,000 employees.
Google said the renovated site, scheduled for completion at the end of 2026, will include public spaces accessible to Munich residents.
In Frankfurt, Google has taken over the 24th floor of the Global Tower, establishing its highest office in Germany.
The new space includes a full Google Workspace and a TechTalk conference room for up to 100 guests.
In Berlin, the company is refurbishing and expanding its existing office, converting former digital studios into three new floors equipped with meeting rooms, a TechTalk auditorium overlooking the Spree River, and a new demo area.
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