British AI infrastructure firm Nscale has raised a historic $1.1 billion in its Series B round, positioning the UK as a key player in the rapidly expanding global AI ecosystem with ambitious plans for large-scale GPU deployments and international growth.
British AI infrastructure firm Nscale has secured a monumental $1.1 billion in a Series B funding round, setting a record for the largest such raise in both UK and European history. Headquartered in London and spun out of Australian crypto-mining firm Arkon Energy in 2023, Nscale is rapidly positioning itself at the forefront of AI infrastructure deployment across Europe and beyond.
The funding round was led by Norwegian industrial investment company Aker ASA, which contributed $285 million and now holds a 9.3% stake in Nscale. This round also saw significant participation from heavyweights in the tech and investment sectors, including Nvidia, Dell Technologies, Nokia, Fidelity Management & Research Company, G Squared, Point72, and T.Capital. The diverse backing reflects widespread confidence in Nscale’s pivotal role in delivering the high-powered computing capacity that underpins the training and operational demands of foundational AI models, such as those developed by OpenAI, Microsoft, and Google.
Nscale is developing one of the largest global AI infrastructure platforms purpose-built to meet surging demand for computing power. Josh Payne, Nscale’s CEO and co-founder, emphasised in a statement that the company is enabling customers to access scarce compute capacity, accelerating the expansion of secure, compliant, and energy-efficient AI data centres tailored to foundational model workloads. This makes Nscale a central player in the UK’s ambition to emerge as a global AI hub.
Crucially, Nscale is collaborating closely with OpenAI on the Stargate investment projects in the UK and Norway. The company has committed $1 billion towards the Norwegian facility, aiming to deploy approximately 100,000 Nvidia graphics processing units (GPUs) by 2027. In the UK, the first phase at the Loughton AI Campus will house 8,000 GPUs with potential to expand to 31,000 GPUs in subsequent phases. This infrastructure will power some of the most advanced AI systems and is described as the UK’s largest AI supercomputer.
Beyond Europe, the newly raised funds are also intended to accelerate Nscale’s expansion across North America and the Middle East. The company is focused on building AI factory data centres that support a seamless rollout of AI capabilities at an unprecedented scale, helping to address the urgent and growing global demand for AI-ready infrastructure.
Industry analysts and investors view this development as a landmark moment, illustrating the increasing strategic importance of AI infrastructure providers in the broader tech ecosystem. By anchoring significant investments from major technology firms like Nvidia, Dell, and Nokia, alongside industrial investors such as Aker, Nscale is setting a new standard for AI infrastructure deployment, contributing positively to the UK’s role as a leader in responsible and scalable AI innovation.
This surge in funding and infrastructure development reflects a wider industry trend, where the demand for AI computational power is escalating exponentially. Foundational models, which form the backbone of AI applications—from natural language processing to computer vision—require expansive, energy-efficient data centres with massive GPU capacity to operate effectively and sustainably.
As the UK builds out its AI capabilities, Nscale’s achievements represent a key positive step towards creating an ecosystem where responsible innovation can flourish. The firm’s focus on energy-efficient solutions and compliance with regulatory standards aligns with broader governmental and industry goals to foster sustainable, secure technological advancements.
In summary, Nscale’s record-breaking funding round, vast deployment plans, and strategic partnerships signal a transformative phase for the UK’s AI infrastructure landscape, bringing it closer to its vision of becoming a global AI powerhouse. This not only supports the immediate computational needs of leading AI developers but also lays essential groundwork for the long-term growth and leadership of AI innovation in both the UK and the international stage.
Source: Noah Wire Services
