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A Perfect Storm: Nordic Data Centre Trends 2018

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What the US can learn about the world’s ‘coolest’ region for data

An extensive new study from the market leader for hyper-efficient, green data centers in cold Nordic countries has revealed fast-changing business priorities and growing awareness of the long-term benefits of efficient, clean data – reasons attracting major global hyperscalers to make major investments in the region.

DigiPlex, the leading pan-Nordic operator of hyper-efficient, green data centers has today released extensive research into changing attitudes and business priorities from Nordic senior executives in the heart of one of the world’s most attractive region for data storage and colocation.

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With American hyperscale digital operators such as Google, Amazon and Facebook making massive investments into the region, the company’s American co-owner and chairman Byrne Murphy urges more US businesses to take note of the major strategic benefits emerging from the region.

“With global business demand for data storage, connectivity, and security rising at a faster rate than anyone can deliver, American businesses should be asking why some of the biggest global market players are investing billions[1] to build data centers in the Nordic region” says Murphy. “Nordic data centers offer huge advantages for American businesses looking for a gateway to Europe. Beyond being easier to cool because of the climate, power is cheaper and greener than just about anywhere else.”

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America’s hyperscalers flocking to the coolest, best connected area of Europe

The new survey provides a unique window into trends and attitudes in a region that has become a preferred destination for some or the largest, and most ambitious data center constructions. Recognizing the significant savings emerging from cheap, clean power, stable governments, low taxes and excellent global connectivity presented by the region and its estimated the scale of investment in the market has reached $3 billion.[2]

“The recent wave of hyperscale investment in the Nordic region, by businesses who are utterly committed to efficiency and long-term planning, is proving what we at DigiPlex realized nearly 20 years ago: the overlapping geographic, political and structural benefits make the Nordics the world’s most exciting and important region for data centers, and something no global business leader can afford to ignore. Our data center in Sweden, for example, offers a power use efficiency of 1.2, far below the industry average of 1.8, which adds up to massive savings.”

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The cost of data climbs to the top of board agendas

DigiPlex’s report shows how the data center issue at C-level has increased in line with greater and more globally widespread deployment of new technologies. Seven in ten surveyed companies believe that the biggest source of business disruption comes from Cloud Computing, which is expected to change core business models and have a considerable impact on revenue and margins in just three years, closely followed by Big Data and Analytics (69%), and AI and Machine Learning (66%).

“Our survey shows that businesses are starting to recognize the importance of data to their operations, but many are still missing out on a lot of information. A full 60% still couldn’t say where their data is located which may have significant impact in a post GDPR world” continues Murphy. “The stage is set for a seismic shift in business models, as reality sets in and the true impact of digital transformation hits the balance sheet.”

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