Kyivstar, Ukraine’s largest telecommunications operator, together with the VEON telecommunications holding, which is the mobile operator’s largest shareholder, as well as the Ministry of Economy, Environment, and Agriculture of Ukraine, have signed a memorandum of understanding regarding their intention to establish an AI Data Center in Ukraine – a sovereign artificial intelligence data center.
The memorandum was signed during the Ukraine Recovery Conference (URC 2026) in Gdańsk, Poland.
"The memorandum provides for the coordination of the parties’ efforts to develop modern computing infrastructure, strengthen Ukraine’s technological sovereignty in the field of AI, attract investment, and develop the AI computing market," according to a Kyivstar press release.
Among other things, within the framework of the future AI Data Center, data processing and storage will take place within Ukraine, which will allow the country to maintain control over its data and technological expertise.
"The development of domestic AI infrastructure is an important step toward strengthening Ukraine’s economic resilience and technological independence," Minister of Economy, Environment, and Agriculture Oleksiy Soboliev said in the press release.
According to President and CEO of Kyivstar Oleksandr Komarov, as part of this project, the company will explore investment opportunities, planning for funding and phased implementation within the framework of existing capital expenditure plans.
"As part of our AI1440 strategy, we are integrating artificial intelligence into everyday life across all our markets, and supporting this data center is a logical extension of that work in Ukraine," CEO of VEON Group Kaan Terzioglu said.
In addition, locating the AI Data Center in Ukraine will ensure low latency and fast performance of AI solutions, which is important for industry, robotic systems, and real-time services.
In accordance with the memorandum, Kyivstar expressed its intention to explore opportunities for investing in the AI computing market in Ukraine, while continuing to support the country’s economic development.
"The project aims to lay the foundation for the development of a new generation of data centers and strengthen Ukraine’s position as a regional technology hub," the press release reads.
As previously reported, in the first quarter of 2026, Kyivstar increased its consolidated EBITDA by 28.5% to UAH 7.5 billion, while revenue rose by 31.3% to UAH 13.9 billion.
In 2025, Kyivstar Group increased its EBITDA by 30% to UAH 27 billion, with revenue growing by 30.3% to UAH 48.2 billion; including in the fourth quarter of last year, when EBITDA increased by 23.1% to UAH 7.2 billion, with revenue growing by 30.1% to UAH 13.5 billion.
VEON is a digital operator that provides telecommunications and digital services to over 150 million mobile users and more than 205 million digital service users.
