Iceland Data Center Market - Investment Analysis & Growth Opportunities 2025-2030

KEY HIGHLIGHTS

• The Iceland data center market growth is driven by several factors, including the presence of bitcoin miners, high power reliability, the presence of green energy, suitable climatic conditions, high internet and social media penetration, strong inland and submarine cable connectivity, and a strong regulatory framework.
• Reykjavik is the data center destination in the country. The city is marked by a concentrated growth in advanced facilities, hyperscale data centers, and dedicated cloud regions. As of January 2025, the industrial price of land in Reykjavik, Iceland, ranged between $4,500-$7,000 per sq m. Furthermore, Akureyri & Northern Iceland region also have a lower entry price than Reykjavik, along with a quality infrastructure.
• As a European Economic Area (EEA) member, Iceland provides tariff-free access to the EU market, paired with World Trade Organization (WTO) membership, 50+ double tax treaties, and trade agreements. It offers a reduced corporate tax rate as compared to Organisation for Economic Co-operation and Development (OECD) countries, which plays a significant role in attracting investments in the Iceland data center market.
• According to a report by the Ministry and Statistics Iceland, effective adoption of AI in Iceland could add between USD 1.42 billion and USD 11.83 billion to the economy of Iceland by 2029, depending on how quickly and widely AI is used.
• Data center operators in Iceland consistently achieve low PUE ratios, between 1.1 and 1.2, far below the global average (1.57), showcasing top-tier energy efficiency.

• IT Infrastructure
  • Server Infrastructure
  • Storage Infrastructure
  • Network Infrastructure
• Electrical Infrastructure
  • UPS Systems
  • Generators
  • Switches & Switchgears
  • PDUs
  • Other Electrical Infrastructure
• Mechanical Infrastructure
  • Cooling Systems
  • Rack Cabinets
  • Other Mechanical Infrastructure
• Cooling Systems
  • CRAC and CRAH
  • Chillers
  • Cooling Towers, Condensers, and Dry Coolers
  • Other Cooling Units
• General Construction
  • Core & Shell Development
  • Installation & commissioning Services
  • Building & Engineering Design
  • Fire Detection & Suppression Systems
  • Physical Security
  • Data Center Infrastructure Management (DCIM)
• Tier Standard
  • Tier I & Tier II
  • Tier III
  • Tier IV

WHY SHOULD YOU BUY THIS RESEARCH?

• Market size available in the investment area, power capacity, and the Iceland colocation market revenue.
• Data center investments in the area (square feet) and power capacity (MW) across cities in the country.
• A detailed study of the existing Iceland data center market landscape, an in-depth market analysis, and insightful predictions about the Iceland data center market size during the forecast period.
• Snapshot of existing and upcoming third-party data center facilities in Iceland
  • Facilities Covered (Existing): 08
  • Facilities Identified (Upcoming): 02
  • Coverage: 4+ Locations
  • Existing vs. Upcoming (Data Center Area)
  • Existing vs. Upcoming (IT Load Capacity)
• Data center colocation market in Iceland
  • Colocation Market Revenue & Forecast (2021-2030)
  • The Iceland data center landscape market investments are classified into IT, power, cooling, and general construction services, with sizing and forecast.
  • A comprehensive analysis of the latest trends, growth rate, potential opportunities, growth restraints, and prospects for the industry.
  • Business overview and product offerings of prominent IT infrastructure providers, construction contractors, support infrastructure providers, and investors operating in the industry.
  • A transparent research methodology and the analysis of the demand and supply aspects of the industry.

ICELAND DATA CENTER MARKET VENDOR LANDSCAPE

• In the current landscape of colocation investors, several established companies play a significant role. Notable players in the Icelandic data center market include atNorth, Borealis Data Center, and Verne.
• atNorth and Borealis, utilize direct-air cooling at their facilities to bring down the temperature of their units.
• As of 2025, there is no direct presence of major hyperscalers in the Icelandic data center market. However, growing investment, 100% renewable energy, excellent global connectivity, and favorable climate conditions position Iceland as a strong candidate for future hyperscale expansion.

EXISTING VS. UPCOMING DATA CENTERS

• Existing Facilities in the region (Area and Power Capacity)
  • Reykjavik
  • Other Cities
• List of Upcoming Facilities in the region (Area and Power Capacity)
  • Reykjavik
  • Other Cities

IT Infrastructure Providers

• Broadcom
• Cisco
• Dell Technologies
• Hewlett-Packard Enterprise
• Huawei Technologies
• Hitachi Vantara
• IBM
• Lenovo
• NetApp

Data Center Construction Contractors & Sub-Contractors

• AVH
• Blikk & Taekni
• COWI
• Perago Bygg
• Rafeyri
• Raftakn

Support Infrastructure Providers

• Alfa Laval
• Carrier
• Eaton
• Legrand
• Schneider Electric
• Socomec
• STULZ
• Vertiv

Data Center Investors

• atNorth
• Borealis Data Center
• Verne

KEY QUESTIONS ANSWERED