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The great scramble to build AI compute you can actually own

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Why This Matters

The increasing importance of owning and controlling AI compute infrastructure is reshaping the strategic landscape for tech companies and governments. As AI models become tied to physical hardware locations, issues of jurisdiction, access, and security are becoming critical considerations. This shift underscores the need for organizations to develop resilient, localized, and secure AI compute solutions to maintain operational independence and compliance.

Key Takeaways

As AI gives compute a physical address, companies and governments are discovering that where a model runs—and who can legally reach it—is now a strategic decision. In May 2025, Karim Khan, chief prosecutor of the International Criminal Court, opened his laptop in The Hague and found himself locked out of his Microsoft email account. According to The Associated Press, the Trump administration had sanctioned Khan over the court’s arrest warrants for Israeli officials. Microsoft, a U.S. company subject to U.S. law, was caught in the middle. The company president, Brad Smith, later denied that Microsoft had cut off the ICC, saying its actions never involved suspending the court’s services. For the court and its staff, the episode felt like a kill switch flicked from Washington.