Google to Invest €1 Billion in Finnish Data Centre

Google announced on Monday, that it would invest an additional 1 billion euros ($1.1 billion) in Finland to expand its data centre campus, with the aim of boosting its AI business growth in Europe.

The Nordic region, including Finland, has become a popular location for data centres due to its cooler climate, tax incentives, and abundant renewable energy.

Sweden and Norway have recently grown increasingly critical of hosting data centres, advocating for the use of renewable power for higher-value products like green steel, which could leave higher surplus value in the countries.

Finland’s wind power capacity has also increased so rapidly in recent years, by 75% to 5,677 megawatts in 2022 alone, that on windy days prices have plummeted to negative, industry statistics showed.

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Analysts predict a significant rise in data centres’ power consumption due to AI’s rapid growth, which Google cited as a key reason for its investment.

Google’s Hamina data centre already operates with 97% carbon-free energy and contributes heat to the local district heating network, benefiting households, schools, and public service buildings.

Google aims to achieve net zero emissions across its entire operations and value chain by 2030.

In addition to its investment in Finland, Google announced plans last month to build new data centres in the Netherlands and Belgium.