Mistral AI and EcoDataCenter have announced a strategic, long-term investment of €1.2 billion (US$1.42 billion) into Sweden’s digital infrastructure.
The partnership will focus on building an AI data centre at EcoDataCenter’s Borlänge site and include advanced compute capacity and localised AI capabilities.
The agreement marks a significant step towards strengthening Europe’s technological autonomy in AI and comes amid a flurry of AI-related interest in the region. This also marks Mistral AI’s first AI infrastructure investment outside of France, as the company will deploy large-scale AI compute at EcoDataCenter’s facilities.
Since its founding in 2023, Mistral AI’s revenue has been booming as it continues to capitalise on European demand. Company CEO Arthur Mensch stated at Davos that the company was on track to reach a one-billion-euro revenue by the end of 2026.
“This investment is a concrete step toward building independent capabilities in Europe, dedicated to AI” said Mensch. “By delivering a fully vertical offer with locally processed and stored data, we are reinforcing Europe’s strategic autonomy and competitiveness.
“This lays the foundation for a European AI cloud that can serve industries, public institutions, and researchers at scale.”
The partnership seeks to combine Mistral AI’s leading European foundation models with EcoDataCenter’s high-performance, sustainable data centre infrastructure. As a result, both companies are expected to deliver a fully European AI stack that is designed, built and operated across the entire AI value chain, with data processed and stored locally in Europe.
EcoDataCenter said it will design, build and operate the underlying infrastructure in Sweden and leverage renewable energy, advanced cooling technologies and expertise in high-density AI data centres. Its Borlänge is well-positioned to support with demanding AI workloads, the company said, and the data centre will host Nvidia’s latest-generation Vera Rubin GPUs.
Nvidia CEO Jensen Huang said at CES Las Vegas in January that the company’s Rubin chips can be cooled using water at temperatures that do not require traditional water chillers.
The Nordics has quickly become a major data centre hub, famed for its renewable energy assets and strong European industry partnerships. It is expected that power demand in the region could swell up to four times what it is currently by 2032, boosting potential for companies looking to invest.
“AI is critical infrastructure for Europe’s competitiveness, security and economic growth,” said Peter Michelson, CEO of EcoDataCenter. “Together with Mistral AI, we are building high-performance AI infrastructure on Swedish soil – with sustainability, resilience and European strategic autonomy at its core.
“This investment strengthens Sweden’s position as a leading hub for advanced AI and digital infrastructure in Europe.”
Related stories
Europe reports strong data centre growth, but delivery is uneven
AWS warns European data centre expansion at risk from seven-year grid delays
Trane Technologies acquires LiquidStack to scale AI data centre solutions
Datacloud Energy 2026
After a standout 2025 edition, we’re back with an even sharper focus on the intersection of data centres, energy, and ESG. As power demand rises and regulations evolve, there’s a growing urgency to rethink how infrastructure is powered, financed, and built for long-term impact.
