Deploying Sovereign AI in the EU, Australia and Beyond

AI demand is global, but the rules that govern data are local. Governments and businesses want reliable access to AI capacity, with clear control over where their data is processed, who operates the system and which laws apply.

That is why sovereign AI is receiving growing attention. The term can mean different things in different contexts, but it often comes down to several considerations: where the infrastructure, data and operations behind AI sit, who controls them, as well as which legal and regulatory frameworks govern them.

Sovereign AI readiness depends on more than the location of the data center. It requires coordinated decisions across infrastructure, compute, software and operations. IREN’s vertically integrated AI Cloud platform brings these layers together, giving customers a foundation they can configure to meet their requirements.

What is sovereign AI?

From a national perspective, sovereign AI refers to a country’s ability to develop and control its AI capabilities using infrastructure, data, talent and governance frameworks that support its domestic agenda.

For organizations, sovereignty often means keeping AI workloads within the defined jurisdiction of the country or region they serve, while maintaining appropriate control over how the systems and data are managed. Sovereignty is supported through several dimensions:

• Regional: The physical infrastructure, including data centers, GPUs and storage, is located within specific national or regional borders
• Operational: Who can access, operate, update, audit or shut down its systems and under what conditions – namely independently, free from foreign government intervention or restriction
• Legal and Regulatory: Which laws and regulatory frameworks apply to data processing and model outputs, such as under the GDPR in the EU

Sovereignty relies on both where the infrastructure sits and who can access and control the systems, data and services running on it.

Why does sovereign AI matter?

AI is becoming essential infrastructure, much like power grids, telecommunications networks and financial systems. When the compute that runs public services, healthcare, finance and critical industries sits outside a country’s borders, the country may have less direct control over the systems those services depend on.

Domestic compute can also be the foundation of a domestic AI startup ecosystem. Founders, researchers and enterprises can build and deploy closer to home with access to the infrastructure they need. That can help develop local skills, jobs and intellectual property.

Governments are responding by prioritizing locally hosted AI capacity. For them, sovereign AI is a policy goal and a way to further an important capability for the next wave of AI adoption.

How does IREN support sovereign AI?

Sovereignty requirements need to be designed into infrastructure from the start. AI environments change constantly, with new hardware, software updates and operator access can all affect how a system is managed. Clear controls and accountability across the environment help customers address those requirements.

Maintaining that access control effectively requires a single party that is accountable for every layer, every day. To that end, IREN controls the full infrastructure stack: the data centers, the compute inside them and the software on top.

• Data centers. GPUs need reliable power and purpose-built facilities to operate at scale. IREN has grid connection agreements for more than 5GW globally and owns the land, substations and buildings, so there is no third-party landlord between the customer and the hardware.
• Compute. IREN deploys NVIDIA's AI infrastructure stack. IREN's team deploy and operate the GPU clusters, so customers know exactly who manages their infrastructure.
• Software. Through its acquisition of Mirantis, IREN is incorporating k0rdent AI, a Kubernetes-native platform for provisioning AI infrastructure and orchestrating workloads. Its operational controls and workload isolation can help customers address requirements for data residency, security and governance, and the platform has achieved NVIDIA-Certified Hypervisors status for GPU virtualization and tenant isolation.

Expanding sovereign capacity across the globe

IREN entered the European market in 2026 through the acquisition of Nostrum Group, adding secured, grid-connected power and a local team that has now grown to more than 60 employees across development, engineering, construction and operations.

“Europe is one of the largest and fastest-growing markets for AI infrastructure, and Spain is among its most compelling entry points, with abundant renewables and strong fiber connectivity,” said IREN Co-Founder and Co-CEO Daniel Roberts. “Nostrum gives us secured power today along with a development pipeline and a great local team we're excited to work with.”

IREN’s flagship platform in Spain is a campus in Badajoz, Extremadura, with approximately 300MW of planned capacity and initial operations targeted for 2028. IREN is designing the campus for compatibility with NVIDIA DSX architecture and capabilities for managed cloud services.

IREN is also developing the 800MW Bundey campus in Australia, the company’s first announced Australian data center project and one of the largest in the country announced to date.

“The Bundey campus is able to serve global and regional AI demand, as well as South Australia's own growing need for AI compute,” said Roberts. “We look forward to partnering with the Government of South Australia, local communities and industry to expand domestic access to AI infrastructure, support research and innovation, and help build the skills and jobs the AI economy requires.”

Sovereignty starts at the foundation

IREN’s vertically integrated platform brings together data centers, compute and software together to support customers’ sovereign-ready AI requirements, without trading off performance or scale. Sovereign AI depends on controls maintained across hardware, software and operations, every day the system runs. That is why IREN builds from the ground up to manage every layer, in every country across its global portfolio.

Secure your sovereign capacity on IREN AI Cloud.