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OpenAI announces first permanent London office after halting UK Stargate project
In February, the company said it would make London its largest research hub outside of the U.S. OpenAI has announced it's opening its first permanent London office with a capacity of over 500 team members, after the company halted a major AI infrastructure project in the U.K. The U.S.-based AI firm said it had signed the lease for an 88,500 square foot space on Monday. In February OpenAI announced it would make London its largest research hub outside of the U.S. The company currently employs around 200 people in the U.K. capital. "The UK has an incredible depth of talent and a strong track record in AI," Phoebe Thacker, London site lead at OpenAI, said in a statement. "London is already a key hub for our research and teams, and this new office gives us the space to keep building here."
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OpenAI To Establish Permanent Office In London Days After Its UK Stargate Pause - NVIDIA (NASDAQ:NVDA)
OpenAI To Establish London Office After Pausing UK Stargate Project: Report OpenAI is reportedly planning to set up its permanent office in London, aiming to make the city its largest research hub outside the U.S. The San Francisco-based firm told Reuters on Monday that it would start the office in 2027. The 88,500 square foot location, situated at Regent Quarter, will house 544 employees and is part of the company's plan to expand its capacity to meet the growing demand in the UK. OpenAI first opened its office in London in 2023. Currently, it employs approximately 200 people in London across various roles, including research, engineering, customer support, policy, and sales. The new office will serve as a significant expansion of the company's presence in the city. OpenAI did not immediately respond to Benzinga's request for comments. OpenAI stalls UK Stargate High industrial energy costs and grid access delays are hindering the U.K.'s AI infrastructure push, alongside looming regulations on AI use of copyrighted content. A recent report suggested that the company aims to build a $100 billion advertising empire by 2030. Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo courtesy: Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.
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OpenAI to open first permanent London office in 2027
April 13 (Reuters) - OpenAI said on Monday it has secured its first permanent office in London, expanding capacity to meet growing demand in the UK and building on the ChatGPT maker's plans to make the city its largest research hub outside the United States. Here are some details on the new London office: o The office is expected to open in 2027, with capacity for 544 team members, Microsoft-backed OpenAI said. o The space is located at Regent Quarter, spanning Jahn Court and the Brassworks Building in the King's Cross area. o OpenAI currently employs around 200 people in London across research, engineering, customer support, policy, and sales. o Last week, OpenAI said it was pausing nL8N40S13Y its main data center project in Britain due to an unfavourable regulatory environment and high energy costs, a move that dealt a blow to the UK government's push to position the country as a global AI hub. (Reporting by Nithyashree R B in Bengaluru; Editing by Rashmi Aich)
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OpenAI announced it has leased an 88,500 square foot office in London's Regent Quarter, set to open in 2027 with capacity for 544 team members. The move reinforces London as the company's largest research hub outside the U.S., even as it paused its major UK data center project last week due to high energy costs and an unfavorable regulatory environment.
OpenAI has secured its first permanent office in London, signing a lease for an 88,500 square foot space at Regent Quarter in the King's Cross area
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. The Microsoft-backed ChatGPT maker announced Monday that the new facility will accommodate 544 team members when it opens in 2027, marking a significant OpenAI expansion in the UK3
. The space spans Jahn Court and the Brassworks Building, more than doubling the company's current London footprint where approximately 200 people work across research, engineering, customer support, policy, and sales functions2
.Source: Market Screener
The office lease follows OpenAI's February announcement positioning London as its largest research hub outside the U.S., underscoring the company's commitment to the UK talent pool despite recent infrastructure setbacks
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. "The UK has an incredible depth of talent and a strong track record in AI," said Phoebe Thacker, London site lead at OpenAI1
. The research hub designation signals OpenAI's intent to tap into Britain's deep AI expertise while expanding capacity to meet growing demand across European markets. OpenAI first opened its London office in 2023, and the new permanent location represents a strategic bet on the city's position as a global AI center.
Source: Benzinga
The London office announcement comes just days after OpenAI paused its main data center project in Britain, dealing a blow to the UK government's ambitions to position the country as a global AI infrastructure leader
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. The UK Stargate project faced multiple headwinds including high energy costs, grid access delays, and an unfavorable regulatory environment surrounding AI use of copyrighted content2
. High industrial energy costs have emerged as a critical barrier to AI infrastructure development in Britain, making large-scale data center operations economically challenging compared to other markets.Related Stories
The contrasting decisions—expanding research operations while halting infrastructure investment—reveal OpenAI's nuanced approach to the UK market. The company appears willing to invest heavily in London's talent pool and research capabilities while avoiding the regulatory and cost burdens associated with building physical AI infrastructure in Britain. This dual strategy allows OpenAI to maintain access to UK engineering and research expertise without bearing the financial risks of data center construction amid looming regulations. For the UK government, the pause on the data center project highlights the urgent need to address energy costs and streamline regulatory frameworks if Britain wants to compete with the U.S. and other regions for AI infrastructure investment. Meanwhile, the permanent London office signals that research and development remain viable in the UK, even as compute infrastructure projects face headwinds. Industry observers will be watching whether other AI companies follow OpenAI's model of separating research hubs from infrastructure investments, and whether UK policymakers can create conditions that attract both.
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