Orange and Morrison have entered into an exclusivity agreement to create a data centre joint venture (JV) in France, supported by €3bn ($3.41bn) investment and aiming to deliver 400MW of capacity.
The proposed 50/50 partnership is designed to address rapidly growing demand for cloud and AI infrastructure, and would involve a significant expansion, nearly tenfold, of Orange’s current data centre footprint in the country.
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The companies aim to support surging requirements for cloud and AI infrastructure, utilising Orange’s existing assets and expertise alongside Morrison’s background in infrastructure investment.
Under the proposal, Orange would contribute five large data centres located across four French campuses: Chevilly-Larue, Aubervilliers, Chartres, and Val-de-Reuil, to the JV.
The arrangement will also see Orange bringing its operational experience and commercial reach to the new platform.
Morrison would provide equity investment as part of its global value-add strategy to support the development and expansion of the JV.
Funding would be secured through Orange’s existing assets, Morrison’s investment, and additional debt, underlining a significant financial commitment to France’s digital infrastructure.
Orange and Morrison expect the new data centre platform to promote a “sovereign” approach, supporting AI and cloud growth while operating entirely within France.
Data centre operations are planned to benefit from what the participants describe as some of Europe’s most decarbonised electricity, with a focus on energy efficiency and environmental sustainability.
The distribution of colocation and hosting opportunities to businesses, SMEs, and public-sector organisations would be handled exclusively by Orange Business, according to the parties.
Both companies emphasised the importance of reliable, scalable, and secure digital infrastructure.
Orange group CEO Christel Heydemann said: “We are absolutely convinced that France will need sovereign, trusted digital infrastructure if it is to rise to the challenge of surging demand driven by cloud and artificial intelligence.
“This contemplated JV with Morrison, will allow us to unlock the value of our existing assets and strengthening our position in data centres.”
The transaction is anticipated to be signed by the end of 2026, subject to consultation with employee representatives and regulatory approval, with completion targeted for the first quarter of 2027.
