Neos Networks CEO Lee Myall says the £300 million investment in the UK’s Lanarkshire AI Growth Zone demonstrates the UK’s AI ambitions but warns that resilient connectivity must be built into infrastructure planning from the outset.
Lee Myall, CEO, of Neos Networks, says the £300 million investment announced for the UK’s Lanarkshire AI Growth Zone is an encouraging sign that the UK remains serious about turning its AI ambitions into regional growth – but the industry also needs clarity on how the initiative will be taken forward and how future sites will be selected, supported and connected.
“AI Growth Zones shouldn’t be viewed just as locations for new data centres. They need to be planned as complete pieces of national infrastructure, bringing together compute, power, high-capacity, resilient connectivity, from the outset. The UK has seen too often what happens when ambitious infrastructure programmes are developed in silos, with one part of the system advancing faster than the infrastructure needed to support it,” said Myall.
“All of this matters much more as the Government increasingly talks about data security and sovereign AI capability. Sovereignty cannot stop at the walls of the data centre: the networks connecting AI infrastructure to businesses, public services, and users must be equally secure, resilient, and trusted. A data centre with access to power but without resilient, high-capacity fibre is not usable AI infrastructure. If AI Growth Zones are to unlock lasting economic growth, connectivity has to be baked into planning from day one,” he said.
The government announcement confirmed the Lanarkshire AI Growth Zone had securing a landmark £300 million investment package with Dell Technologies establishing a base in the area.
The wider development is expected to support more than 3,400 jobs, alongside skills and training opportunities to help local people access careers in technology, engineering, construction and the growing AI sector.
The investment includes a £202 million guarantee from the National Wealth Fund, helping unlock a total £300 million financing package from ING, ABN AMRO, Santander, the Scottish National Investment Bank and Siemens Financial Services.
The money will enable developer DataVita to expand its existing DV1 data centre and construct a second, creating jobs during construction and operation while providing the infrastructure needed to attract more businesses and investment to Scotland in the years ahead.
Dell Technologies will move to Mercury House in Lanarkshire’s AI Innovation Park, which will be the new home for the company’s Scottish team.
Danny Quinn, Managing Director, at DataVita, said: “There is plenty of talk about AI infrastructure just now. This project is being delivered: work is well advanced on site, every megawatt is contracted, and the first facility completes this year. DataVita delivers AI infrastructure end to end, from the energy that powers it through to the applications that run on it. We have been doing this in Scotland for more than ten years. The UK needs its own AI capability, built here and run here, and we are grateful to the National Wealth Fund and our lenders for backing a project that is already delivering it.
“This type of investment in Scotland’s data centre infrastructure would have been unthinkable just two or three years ago. That is the impact AI is having. Scotland has all the right ingredients to take advantage of the AI revolution and make it a core part of its economy.”
Steve Young, Senior Vice President and UK Managing Director, Dell Technologies, said: “AI is creating new opportunities for organisations across every sector. Realising its potential depends on having the right infrastructure, skills and partnerships in place.
“Our Scottish team moving to Lanarkshire means we will join a growing community of organisations helping to advance AI innovation, skills and collaboration. Being part of that ecosystem will help us strengthen relationships across Scotland while continuing to support customers and partners across the UK on their AI journeys.”
Work is well underway on the site which remains on track to be among the first AI Growth Zones in the UK to see cutting-edge chips installed.
The UK’s AI Growth Zones are designed to ensure communities with the energy resources needed to power AI infrastructure can benefit from the jobs, investment and growth the technology creates.
Lanarkshire is particularly well placed for this mission thanks to its abundant energy supply and strategic position within Scotland’s electricity network. The site’s energy needs will be met overwhelmingly by renewables thanks to Scotland’s low-carbon energy mix.
