TikTok invests €1 billion in Finland data centre

TikTok invests €1 billion in Finland data centre

TikTok data centre.png

TikTok has confirmed plans to invest €1 billion ($1.14 billion) to build its first data centre in Finland.

A company spokesman verified the move following reports that the move was part of a broader strategy to localise storage of European user data.

However, no further details have been revealed by TikTok’s China-based parent company, ByteDance.

This comes as TikTok has faced growing scrutiny over data privacy and concerns about possible access by the Chinese government to user information.

In response, the company launched “Project Clover” in 2023, a data security scheme with €12 billion in investment over 10 years. As a result, TikTok's first data centre under Project Clover, located in Norway, went fully operational this month and has seen 175 million users across Europe.

Meanwhile, the company is expected to announce additional data centres in the coming years.

The move follows other major tech companies like Microsoft and Meta establishing operations in the Nordic region, thanks to its colder climate and affordable electricity.

Microsoft president Brad Smith, recently said: “Finland is definitely one of the places where we’re continuing to build out our infrastructure.

“First we have a lot of access to carbon free energy, and second, it’s got good connectivity, so we are able to serve much of Europe from Finland,” he said.

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