Red Hat has partnered with Telenor to power Telenor’s sovereign AI factory using advanced cloud-native and AI platforms. Backed by NVIDIA, the new AI Factory combines high-performance hardware with cutting-edge AI models while maintaining strict national control over data, infrastructure, and operations. As a result, organizations can move from AI blueprints to production faster and with greater operational confidence.

Meeting the Growing Demand for Sovereign AI

As AI adoption accelerates across Europe, organizations are increasingly prioritizing data sovereignty and regulatory compliance. In response, Telenor is leveraging its decades of experience in operating critical infrastructure to meet strict national and EU requirements around data governance and digital resilience.

Notably, the Telenor AI Factory delivers a scalable, security-first infrastructure optimized for AI and compute-intensive workloads. Its architecture integrates GPUs, low-latency networking, and high-performance storage, built on NVIDIA’s reference design. Consequently, enterprises can process sensitive data locally while ensuring performance, compliance, and resilience.

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Cloud-Native Foundation Accelerates AI Deployment

To strengthen its AI ecosystem, Telenor AI Factory selected Red Hat OpenShift AI as the primary environment for developing, training, and deploying AI agents and applications. This includes retrieval-augmented generation (RAG) and agentic workflows supported by LlamaStack.

In addition, Red Hat Consulting worked closely with Telenor AI Factory to design and implement an architecture capable of delivering AI services to external customers. From resource provisioning to multi-tenancy and data sovereignty, the infrastructure supports enterprise-grade AI at scale.

Red Hat OpenShift AI integrates seamlessly with Red Hat OpenShift Platform Plus, forming a unified cloud-native foundation. Meanwhile, Red Hat Ansible Automation Platform streamlines automation, simplifying deployment, management, and scalability across operations.

Flexibility, Performance and Operational Sovereignty

Importantly, Red Hat’s platform supports any model, on any hardware, across any environment. This flexibility enables Telenor AI Factory and its customers to deploy AI workloads using their preferred tools, accelerators, and libraries. At the same time, organizations can optimize GPU utilization, improve performance, and enhance profitability for demanding AI workloads.

Furthermore, Red Hat Confirmed Sovereign Support for the European Union delivers dedicated in-region technical support, strengthening operational sovereignty for mission-critical environments. Combined with Red Hat’s secure software supply chain approach and enhanced day-one security capabilities, the platform ensures that sensitive workloads remain protected.

By standardizing on Red Hat technologies, Telenor AI Factory provides a vendor-neutral foundation that abstracts hardware complexity and simplifies portability. Because the stack is rooted in open source principles, customers gain transparency, auditability, and full control over their environments.

Driving Collaboration and AI at Scale

Red Hat OpenShift AI also streamlines AI model lifecycles by bringing data scientists, AI engineers, and developers onto a unified platform. Consequently, teams can collaborate more effectively while maintaining operational consistency. IT teams manage traditional applications and AI workloads side by side, reducing silos, cutting costs, and boosting agility.

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Currently, Telenor AI Factory operates two renewable energy-powered sites in Norway. The Red Hat-based infrastructure supports multi-tenant customers within the Telenor Group as well as external public and private sector organizations handling critical and sensitive data.

Supporting Quotes

Rich Stephens, vice president, EMEA Telecommunications, Red Hat: “Telenor AI Factory is leading the way in rolling out sovereign cloud for the enterprise and Red Hat is excited to bring our experience of open innovation and flexible platforms to support delivery of these diverse and complex services. With the pace of change in the AI market, Red Hat and Telenor AI Factory are catering for today’s greatest strategic need: The freedom to choose any model, on any accelerator, across any environment. Together we are delivering support for sovereignty, governance and enhanced systems security so that customers can scale AI efforts to drive value, with control and autonomy over data.”

Kaaren Hilsen, CEO, Telenor AI Factory: “Telenor is focused on delivering dependable technologies for organizations looking to enhance operational resilience and drive AI-powered innovation. Telenor AI Factory and Red Hat collaborate as one team – we get in rooms together to jointly problem-solve and push forward. We are building Telenor AI Factory for flexibility and portability, no lock-in, and Red Hat is a key part of this with its open software and principles. With Red Hat as the common cloud layer, Telenor AI Factory provides purpose-built, security-focused environments that reduce deployment complexity while optimizing costs so that our customers can build on what already works and own what they create. Red Hat and Telenor AI Factory are transforming isolated GPU silos into a flexible and compliant offering ready for the demands of the Nordic and wider European market.”

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