Google invests over €27 million in new data centers in Muhos and Kajaani, expands workforce in Hamina to 500

In 2011, Google established a data center in the small Finnish town of Hamina, which has seen six expansions since its inception. Recently, the tech giant announced plans to acquire land in Muhos and Kajaani, valued at over €27 million, to further bolster its data center investments. The latest expansion will increase Google’s workforce in Hamina to 500 employees.

Starting in fall 2025, the excess heat generated by the data center will be utilized in the city’s district heating network. Google also contributes significantly to the local economy through real estate and corporate taxes.

The collaboration between Hamina and Google traces back to 2009 when Google purchased a decommissioned paper mill in the area. The center began operations in 2011, quickly transforming the local landscape with ongoing investments.

According to the CEO of the regional development company Cursor, Google’s long-term presence acts as a quality assurance for other international businesses considering investments in the area. As the expansions progress, there is a notable increase in demand for local accommodations and services, with workers from the data center significantly contributing to the local economy.

The upcoming expansion will also grant Hamina access to a sustainable energy source; Google plans to donate waste heat from the facility to the city’s energy provider, which will then supply heat to around 2,000 homes starting in 2025.

Finland’s cool climate and abundant natural water resources make it an attractive location for data center operations. Google is a significant taxpayer in Hamina, contributing nearly €9 million in corporate taxes in 2022 along with property taxes.