Telenor, Hafslund, And HitecVision Announce Major Investment In Oslo's Secure Data Center

In response to the evolving geopolitical landscape and the surge in artificial intelligence (AI) applications, a significant move towards bolstering secure data storage within Norway has been initiated. Telenor, Hafslund, and HitecVision have announced the establishment of a new joint venture named Skygard. This initiative marks a pivotal step in constructing Oslo's first secure and energy-efficient data center, with construction set to commence in March 2024. The consortium has committed an investment of NOK 2.4 billion into this venture, aiming to address the pressing demand for data centers that prioritize security and sustainability.

Jannicke Hilland, Chair of the Board of Skygard and Executive Vice President for Infrastructure at Telenor, highlighted the venture's timely nature. "The current geopolitical situation increases the need for secure solutions, while we simultaneously see an increasingly pressured market when it comes to capacity," Hilland stated. The first data center, located in Hovinbyen, Oslo, is not only anticipated to meet these critical needs but also set a new standard for energy efficiency and security in data storage.

Elise Lindeberg, appointed as the CEO of Skygard, transitions from her role as Director of Security at the Norwegian Communications Authority. Lindeberg's extensive experience in security and emergency preparedness is expected to significantly contribute to Skygard's mission of offering a Norwegian alternative in the international data center market. "There is extensive digitization in all sectors of society... I look forward to contributing to building up Skygard," Lindeberg remarked.

The Hovinbyen data center aims to be Norway's most energy-efficient facility by utilizing surplus heat for the district heating network. This approach could reduce energy requirements by 50 to 70 percent compared to older data centers. Martin S. Lundby, Board Member of Skygard and Deputy CEO of Hafslund, emphasized the project's alignment with customer demands for high security and environmentally friendly data storage solutions.

Additionally, Telenor's recent collaboration with Nvidia on artificial intelligence is poised to enhance Skygard's offerings. "Through our collaboration with Nvidia... This will contribute to Skygard’s data centers delivering highly efficient, advanced, and secure solutions," said Jannicke Hilland. The Hovinbyen facility is slated for operation in the first half of 2025 and will serve as a co-location facility for multiple tenants.

Beyond the initial center in Oslo, plans are underway for two additional data centers in the capital region, aiming for a combined capacity of 40MW upon full development. Ownership of Skygard is distributed among Telenor (31.7%), Hafslund (31.7%), HitecVision (31.7%), and Analysys Mason Nordic (5.0%). For more details on Skygard and its future developments, interested parties are encouraged to visit www.skygard.no.