North East Sparks AI Boom with Two New Tech Powerhouses

The government has announced that two sites in North East England, Blyth in Northumberland and Cobalt Park in North Tyneside, will be designated as 'AI growth zones. ' This means these areas will be given special support to help develop artificial intelligence projects, which could boost the local economy and create thousands of jobs. The Department for Science, Innovation and Technology, known as DSIT, revealed these plans as part of a larger effort to make the UK a leader in AI technology.

At Cobalt Park, several major technology companies are involved in the new plans. OpenAI, the company behind the popular chatbot ChatGPT, will be working alongside Nvidia, a leading US chipmaker, and Nscale, a British technology firm. These companies will help set up new computer systems and AI infrastructure in North Tyneside. The government says that computer chips will be deployed as part of these plans, but they have not shared many details yet. The project is also expected to include partnerships with universities in the North East, which could help students and researchers get involved in cutting-edge technology.

Blyth's new status as an AI growth zone is centered around a £10 billion data centre, which was confirmed earlier this year. This data centre will be a key part of the region's AI development, providing the space and resources needed to store and process large amounts of data. DSIT says that giving Blyth this special status could lead to an extra £20 billion in investment from future partners, although they have not explained exactly how this will happen.

Notably, Teesworks in Redcar was not included in the announcement, even though Tees Valley Mayor Ben Houchen had previously said the government promised to give the site the same status. Houchen's spokesperson said that proposals for Teesworks are still being considered. DSIT explained that they are reviewing more than 200 proposals from across the country to find the most promising sites for AI growth zones.

The situation at Teesworks has been complicated by a disagreement between BP, which wants to build a hydrogen plant on the site, and the landowners, who have different plans. In a letter to the Energy Secretary, Houchen said he had received a commitment from the government to make Teesworks the UK's leading AI growth zone. The government has said it is still working closely with many sites, including Redcar, to decide which ones will be chosen for future AI development.

Overall, the creation of AI growth zones in Blyth and Cobalt Park is expected to bring new opportunities to the North East, helping the region become a center for technology and innovation. The government hopes these projects will attract investment, create jobs, and encourage more people to get involved in the fast-growing field of artificial intelligence.