Sweden's biggest data center planned for 2027

Edge Data Center concept image showing data center server room with glowing server racks.
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EcoDataCenter has acquired a 20-acre section of a former paper mill plant in Borlänge, Sweden, and is planning a data center 'mega campus'.

The site is around 20 km from the company's initial data center in Falun, and will add capacity of at least 240MW - and possibly up to 360 MW - making it the biggest data center in Sweden.

Construction will start as soon as the company has the necessary permits, with the aim of having the first data centers on the site ready for use by 2027.

"This location is perfect for us," said Peter Michelson, CEO of EcoDataCenter.

"We can use the same partner ecosystem as we have established in the region as well as connect the two sites, giving clients the potential to build some of the world’s biggest compute clusters."

The full Kvarnsveden Mill site was bought by the Borlänge municipality after battery firm NorthVolt pulled out of plans to turn it into a manufacturing plant for battery cells.

Around a third of the plot was then sold on to EcoDataCenter earlier this year.

"By cooperating in this project, Borlänge Energi contributes to strengthening Borlänge's position and supporting the local business community to continue developing," said Mats-Erik Olofsson, CEO at Borlänge Energi.

"We look forward to being part of this journey and creating new opportunities for both residents and businesses in Borlänge."

Borlänge Energi said the data center will bring around 200 long-term jobs, along with a significant investment in the infrastructure around the site in Kvarnsveden.

During the establishment phase, which will span the next seven to ten years, around 400 people are expected to be involved in the facility's construction and development.

EcoDataCenter has also committed to partially finance infrastructure investments on and around the site to the tune of SEK 75 million (US$7.23 million) in the coming years.

“We are currently establishing a leading company designing AI infrastructure and data centers. Our services and expertise are highly sought after in the market," said Peter Michelson, CEO of EcoDataCenter.

"Borlänge is a very important asset for us to meet the market demand and continue to scale the company."

EcoDataCenter currently runs five data centers across three sites in Falun, Piteå, and Stockholm. The Falun site was the world's first data center to be built from wood, and uses 100% renewable energy, with three-quarters coming from hydropower and the rest from wind power.

In what it says is a unique solution for heat recovery, the site transforms surplus energy into pellets, a clean and renewable fuel source.

Ross Kelly
News and Analysis Editor

Ross Kelly is ITPro's News & Analysis Editor, responsible for leading the brand's news output and in-depth reporting on the latest stories from across the business technology landscape. Ross was previously a Staff Writer, during which time he developed a keen interest in cyber security, business leadership, and emerging technologies.

He graduated from Edinburgh Napier University in 2016 with a BA (Hons) in Journalism, and joined ITPro in 2022 after four years working in technology conference research.

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