---
source_url: "https://www.shemesh.co.il/en/highlights/israel-s-largest-ai-data-center-will-be-built-in-beit-shemesh"
title: "Israel’s Largest AI Data Center Will be Built in Beit Shemesh | ShemeshPhone"
mirrored_at: 2026-08-13T03:35:38.842Z
host: www.shemesh.co.il
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> **Original source:** https://www.shemesh.co.il/en/highlights/israel-s-largest-ai-data-center-will-be-built-in-beit-shemesh

**Mega Or to Build Israel’s Largest AI Data Center in Beit Shemesh**

The competition to lead Israel’s AI infrastructure is intensifying, with Mega Or announcing plans to build the country’s largest and most advanced **AI data center in Beit Shemesh**. The facility is expected to operate with up to **220 megawatts** of electricity and represent an investment of more than **$2 billion** over the next decade. This is the largest AI computing facility in Israel, 25% of which will be allocated to the Israel Innovation Authority for the operation of the national supercomputer

Mega Or, led by Zahi Nahmias, has already begun preparing the land near the city’s cement plant for the project’s first phase. Initial construction, estimated at **$200 million**, will include about **10% of the site’s full capacity**, supporting around 20 megawatts of computing power. The company says the new center will eventually host **tens of thousands of Nvidia processors**, making it one of the most powerful AI hubs in the region.

The Beit Shemesh complex is part of Mega Or’s broader national strategy to expand its footprint in digital infrastructure. The company recently launched an AI computing center in Modi’in and plans additional data centers in Haifa and Yoav Park in the south. Together, these sites are intended to serve Israel’s growing demand for AI processing in government, defense, and private sectors.

To provide power to the Beit Shemesh complex, Mega Or is also building a high-voltage substation and a new **power plant** called **Shimshon**, in partnership with Ashtrom and Har-Tuv Cement. The plant will provide electricity and storage solutions to ensure energy stability for both the data center and the surrounding region.

However, industry leaders warn that **Israel’s national energy planning** is not keeping pace with the rapid development of AI infrastructure. Without clear government targets and incentives for expanding electricity capacity, experts fear that power shortages could slow future growth in the sector.

According to MK Orit Farkash-Cohen, chair of the Knesset AI Committee, Israel must urgently set quantitative goals for AI computing power and energy supply. “Countries like the US and China are already investing heavily in electricity infrastructure for data centers,” she said. “Israel cannot afford to lag behind.”