Bulgaria Considers Ambitious AI Gigafactory Project with IBM and European Commission

Bulgaria Eyes Major AI Investment

The Bulgarian Ministry of Innovation and Growth is considering a significant project to build an artificial intelligence gigafactory within the country. This ambitious undertaking is being explored in collaboration with IBM and the European Commission, with discussions held on October 3 between Bulgarian government officials and IBM representatives.

Prime Minister Rosen Zhelyazkov, Deputy Prime Minister Tomislav Donchev, and Deputy Minister of Innovation and Growth Martin Danovski met with IBM's Vice President of Technology Lifecycle Services, Bina Halman, and other senior executives to discuss the potential for Bulgaria to host one of Europe's first AI gigafactories. Prime Minister Zhelyazkov stated, 'We are exploring the possibility of building a gigafactory for artificial intelligence in partnership with IBM and the European Commission. We will make every effort to realise this project, as attracting high-tech investment is a government priority.'

Project Scope and Infrastructure Requirements

The proposed AI gigafactory is envisioned as a massive high-performance computing facility. Key specifications for the project include:

• Infrastructure equipped with over 100,000 advanced GPU chips.
• An initial power requirement of at least 70 MW, with total energy demand potentially reaching 500 MW.
• A flat plot of land between 50 and 200 hectares, allowing for future expansion.

The Bulgarian government has pledged to assist in identifying a suitable site that provides the necessary infrastructure, such as optical highways, access to the electricity transmission network, water supply for cooling, and transport connectivity.

Strategic Partnerships and European Context

IBM is being considered as a strategic technological partner, expected to provide expertise and solutions for the construction and maintenance of the gigafactory's infrastructure. The project is anticipated to be implemented through a public-private partnership model. The European Commission could potentially cover up to 17% of the capital expenditures, with EU member states contributing an equal or larger share.

This initiative aligns with the European Commission's broader 'Invest AI' initiative, which aims to mobilize up to €200 billion in AI investments, including a dedicated €20 billion fund for AI-based gigafactories across Europe. The European Commission expects the first AI gigafactories to become operational between 2027 and 2028.

Bulgaria's Growing Role in AI Innovation

Deputy Prime Minister Tomislav Donchev highlighted the strategic importance of the project, noting that it 'has the potential to position Bulgaria among Europe's leading technology hubs and to create favourable conditions for innovation, research, and the digital economy.' He also emphasized Bulgaria's strong IT sector and qualified personnel as assets for developing AI-based technology infrastructure.

This potential gigafactory builds on Bulgaria's existing commitment to AI development. The country was recently selected to host one of the EU's new 'AI Factories,' known as BRAIN++, a €90 million project in collaboration with INSAIT and Sofia Tech Park. BRAIN++ will feature a next-generation supercomputer, Discoverer++, optimized for advanced AI workloads, with construction expected to begin in 2026. These initiatives collectively underscore Bulgaria's ambition to become a significant player in the European AI landscape.