The Dutch government is investing €200 million—alongside regional and European partners—to launch a national AI Factory in Groningen.
Set to be housed in a repurposed former tobacco factory, the facility will serve as a central hub for artificial intelligence research, innovation, and commercialization.
A strategic move for sovereignty in AI
The AI Factory is part of a broader effort to secure the Netherlands’ digital autonomy and position itself as a European leader in AI development. Minister Karremans of Economic Affairs emphasized that investing in domestic AI capabilities is not a luxury but a necessity for maintaining competitiveness and sovereignty in the tech space.
Advertisement
Supercomputing at the core
At the heart of the facility will be a supercomputer with significant computational power, enabling secure data storage and advanced processing for sectors including agriculture, health care, energy, defense, and manufacturing. The supercomputer is expected to reach full capacity by early 2027.
Investment breakdown and timeline
- €70M from the Dutch government
- €60M from regional contributions
- €70M pending from European co-financing applications
Groningen was chosen for its robust academic infrastructure, innovative companies, and available grid capacity—critical in light of power congestion in other areas. The AI Factory is slated to be operational by 2026.
Complementary initiatives
In parallel, the province of South Holland has also submitted a proposal for a separate AI “gigafactory,” led by entrepreneur Han de Groot and supported by Eneco and a consortium of Dutch research institutions.
