Fluidstack signs $11 billion deal with French government for AI data center

Fluidstack, a small British startup, has gained recognition in the tech world for its significant role in AI infrastructure. In February 2025, during an AI summit in Paris, the company announced a partnership with the French government to develop a groundbreaking $11 billion AI factory. This facility will house over 500,000 chips to train and operate AI models, showcasing a major leap in Europe's AI infrastructure efforts. The total budget for the project is anticipated to rise to $46 billion for the entire 1 gigawatt campus, pending negotiations about its location. Fluidstack experienced a remarkable growth trajectory, with its revenue soaring from $30 million in 2023 to $66.2 million in 2024. As of this period, approximately half of its earnings were generated from contracts in the United States, illustrating its expanding influence in the global tech landscape. The company has secured partnerships with high-profile clients, including Meta, further boosting its reputation in the AI market. With only ten full-time employees recorded last year, Fluidstack's meteoric rise has drawn attention to its unconventional financing strategies. The company primarily relies on credit rather than traditional venture capital, a trend emerging in the AI data center startup sector. In April 2025, Fluidstack made headlines by finalizing a significant deal with the Australian investment bank, Macquarie, allowing it to borrow money against its Nvidia GPUs. Reports suggest that it obtained approval to borrow up to $10 billion and to use these GPUs as collateral. Investment bank UBS forecasts a global spend of $375 billion on AI infrastructure in 2025, indicating a burgeoning interest within this sector. However, the pace of investment has raised concerns about potential overextension, with analysts warning of "indigestion" in the market. Predominantly, Fluidstack’s innovative approach positions it uniquely in a field dominated by larger corporations, as it adapts to rapidly shifting demands in AI developments and infrastructure projects.