Armenia Bets on Artificial Intelligence: Will Build a Mega Data Center with a $500 Million Investment

Armenia has taken a decisive step to position itself as a new technological player in the Caucasus and Eastern Europe. The Minister of High-Tech Industry, Mkhitar Hayrapetyan, has officially announced the construction of an artificial intelligence data center (AI-Data Center) with an initial investment of $500 million, the largest technological project in the region to date.

A Strategic Project with International Support

The initiative, jointly driven by the Armenian government, the firm Firebird, and the American tech company NVIDIA, aims to transform the country’s role in the global AI ecosystem. According to Minister Hayrapetyan, “Armenia is joining the global movement of artificial intelligence not as a mere observer but as a creator of new opportunities.”

After months of preparatory work, the project plans to launch, by 2026, a data center equipped with thousands of NVIDIA Blackwell GPUs, the latest generation of AI accelerators, and an infrastructure capable of exceeding 100 megawatts. These figures position the initiative alongside major international tech hubs.

Boosting Innovation, Entrepreneurship, and Education

The Armenian AI-Data Center will not only be an advanced computing infrastructure but also serve as a platform for innovation, scientific research, and entrepreneurship. “The center will stimulate the development of local and international startups, connecting science and technology and turning Armenia into a genuine regional tech hub,” explained Hayrapetyan in his statement.

Authorities emphasize that this strategic investment will act as a catalyst for the long-term technological progress of the country, allowing local talent to develop solutions aligned with international advancements in AI.

Armenia Aims to Establish Itself as a Regional Tech Hub

The new data center aims to attract talent, investments, and tech companies, in order to solidify Armenia as a reference point in artificial intelligence and digitalization in the Eurasian region. Collaboration with NVIDIA and Firebird ensures access to cutting-edge technology and opens the door to future international partnerships.

This move reflects a growing trend among emerging countries: investing in advanced digital infrastructure to accelerate economic development, diversify economies, and gain prominence in the Fourth Industrial Revolution.

Outlook and Challenges

The establishment of the Armenian AI-Data Center coincides with a surge in investments in data centers and AI infrastructure worldwide, driven by the increasing demand for computation and data storage capacity for generative models and artificial intelligence applications across multiple sectors.

With this announcement, Armenia aims to transition from a peripheral player to a prominent spot on the global innovation map, focusing on talent creation, scientific development, and technology-based economic growth.

via: arkatelecom

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