AI Data Centre Approved in Teesside: How Businesses Can Get Ahead

Teesside is entering a new chapter in its industrial history, one powered not just by steel or shipping, but by artificial intelligence.

According to Peter Kyle, former Secretary of State at the Department for Science, Innovation and Technology, Teesside is set to become an “AI Growth Zone”, positioning the region at the forefront of the UK’s AI industrial revolution.

Following this, plans for a £100 million AI data centre at Preston Farms Industrial Estate on Stockton’s outskirts have been approved. Developers, Latos Data Centres, say the project will support local businesses and could create up to 150 new jobs.

So, what does this mean for businesses in Teesside, and how can they get ahead in the AI era?

At MCD Systems, we see this as a pivotal moment for Teesside’s business community, a chance to embrace AI early and lead from the front.

How Teesside Businesses Can Leverage AI

With the new AI infrastructure, Teesside SMEs will soon have access to faster, more local, and more affordable AI capabilities than ever before. This opens opportunities to:

• Gain smarter insights: Anticipate customer needs, forecast demand, and spot inefficiencies before they affect operations.
• Automate at scale: Streamline administrative workflows, quality control, and other operational processes using machine learning.
• Enhance communication: Natural Language Processing (NLP) tools make data extraction, document management, and customer support more efficient.
• Tap into local AI expertise: As Teesside’s AI ecosystem grows, businesses gain access to skilled professionals and technical partners locally.

Stockton North MP Chris McDonald described the project as a chance to “create skills and opportunities for the future.” The AI data centre will attract investment and foster collaboration between universities, startups, and established companies, creating a strong foundation for innovation across the region.

Lessons from Global AI Leaders

At the MIT Business Implications of Generative AI Conference, industry leaders from Salesforce, Corning, and S&P Global shared key insights that Teesside businesses can adopt to stay competitive:

• Focus on augmentation, not replacement: Use AI to enhance human workflows, not replace employees, ensuring smarter, more effective operations.
• Modernise data infrastructure: Every AI initiative starts and ends as a data project. Robust, interconnected data systems are essential for scaling AI effectively.
• Upskill and educate talent: Equip employees with the right skills, tools, and mindset to collaborate with AI, building trust while minimising disruption.
• Understand AI limitations: Be aware that AI can make mistakes or give inaccurate results, and always have humans involved to ensure safety and reliability.
• Make strategic bets: Focus on high-impact AI initiatives rather than pursuing every new trend.

By applying these principles locally, Teesside SMEs can leverage the new AI data centre to deploy predictive analytics, machine learning automation, and NLP-powered solutions, gaining a measurable competitive advantage.

How MCD Systems Helps Businesses Lead in AI

At MCD Systems, we specialise in helping organisations in Teesside and beyond, bridge the gap between ambition and implementation. Whether embedding AI-driven automation, developing bespoke machine learning models, or deploying NLP tools, we ensure Teesside businesses can fully leverage new AI capabilities.

Early adopters in Teesside can gain a head start in efficiency, innovation, and customer engagement, while those who delay risk falling behind competitors already integrating AI into their workflows.

FAQs

How will the new AI data centre impact local businesses?

It provides faster, more reliable access to AI infrastructure, enabling companies to adopt data-driven and automated systems efficiently.

What AI opportunities exist in Teesside now?

From predictive analytics to machine learning and NLP, businesses can already start integrating AI to improve decision-making, productivity, and operational performance.

How can businesses prepare for AI transformation?

Begin by modernising data infrastructure, upskilling employees, and working with local AI consultancies like MCD Systems to implement tailored solutions.