Nvidia Expands AI Data Center Operations to Kfar Saba Amid Israeli Server Farm Growth

Israeli company Rani Zim has signed a hosting agreement for up to 4 megawatts of server farm capacity with an international firm, enabling its partnership with Kardan-Givon’s Serverz to generate annual revenues between 8 and 18 million shekels. Meanwhile, Dalia has increased its investment in the Ashdod server farm to $4.5 billion.

New details reveal that the international company involved is Nvidia, which is aggressively leasing available space in Israel’s large, high-standard Tier 3 and Tier 4 server farms. Most Israeli server farms are still in planning, approval, or construction stages, with few fully meeting strict standards. The Electricity Authority’s halt on new grid connection approvals has caused industry concern.

Serverz, owned by Kardan-Givon and Rani Zim, launched a 20-megawatt facility in Kfar Saba’s industrial zone in 2025, counting HPE among its clients. The company plans to expand capacity to 200 megawatts, pending electricity approvals. Nvidia’s AI processing activities in Kfar Saba mark its first in the city, having previously operated mainly in northern Israel with facilities in Yokneam, near Mount Carmel, and recently in Rishon Lezion at EdgeConnex’s site.

Nvidia also maintains development centers in Ra’anana, Yokneam, Tel Aviv, Be’er Sheva, and Tel Hai. Neither Nvidia nor Serverz responded to requests for comment. This expansion reflects Nvidia’s growing footprint in Israel’s data center sector amid increasing demand for AI infrastructure.