Phoenix Group, the Abu Dhabi-headquartered digital infrastructure operator and IHC portfolio company, has formed a strategic partnership with French data centre developer DC Max to build a pan-European AI infrastructure platform targeting more than 1GW of capacity and a combined pipeline valued at approximately €7.2bn. The partnership's first deployment is an 18MW AI-ready facility in Lyon, France, where Phoenix has already secured the land, permits, grid connection and contracted power, with construction set to commence in July 2026 and delivery targeted between Q4 2027 and Q1 2028.
The structure of the deal is designed to scale. DC Max brings a 1GW European development pipeline alongside deep expertise in site origination, permitting and grid access, while Phoenix contributes capital and the operational know-how to design, procure and build at pace. Together, the two firms are positioning the arrangement not as a one-off transaction but as a repeatable deployment model, capable of moving materially faster than the typical European development timeline of 36 to 48 months that continues to constrain most operators.
"What we are announcing today is not an incremental step; it is a genuine inflection point for Phoenix and for what an Emirati company can achieve on the global stage. We are establishing a presence at the heart of European AI infrastructure, bringing the conviction and capital to build something that will compound in value for years to come. The 1GW ambition is not a ceiling; it is a starting point," said Munaf Ali, Co-Founder and Group CEO of Phoenix Group.
"Phoenix brings exactly the kind of operational scale and capital discipline that French data centre development has been waiting for. We have spent years identifying and securing the best power positions in this market, in Lyon and across France, and this partnership means we can now move on that pipeline at a pace and scale that would not have been possible independently. The demand is there. The sites are there. What this partnership adds is the ability to deliver," said Romain Fremont, CEO of DC Max.
What the announcement does not yet address, but what investors and developers will be watching closely, is the revenue model underpinning the platform. Phoenix has confirmed it will not own or deploy GPUs at the Lyon site, positioning itself purely as an infrastructure landlord leasing high-density capacity to enterprise and neocloud tenants. That colocation and leasing approach, if replicated across the 1GW pipeline, would generate long-term contracted income streams of significant scale, making this platform directly relevant to institutional capital seeking yield-backed digital infrastructure exposure in Europe.
Phoenix currently operates 550MW of deployed capacity across the UAE, Oman, North America and Ethiopia. The European Data Centre Platform sits alongside this existing portfolio as the company advances its ambition to become a scaled global digital infrastructure operator. Further site announcements are expected before the end of 2026.
People
- Phoenix Group, global digital infrastructure operator and IHC portfolio company, headquartered in Abu Dhabi, UAE
- DC Max, French data centre developer with a 1GW European development pipeline
- IHC (International Holding Company), Abu Dhabi-listed conglomerate and parent shareholder of Phoenix Group
Companies
- Munaf Ali, Co-Founder and Group CEO, Phoenix Group
- Matthias Luecker, Chairman, DC Max
- Romain Fremont, Chief Executive Officer, DC Max
Image: Matthias Luecker, Chairman of DC Max, and Munaf Ali, Co-Founder and Group CEO of Phoenix Group, at the signing ceremony. Image Source: Phoenix Group
