Energy used by a potential data centre in Iceland would not contribute to global warming or require carbon credits. Moreover, studies have shown that half the cost of energy for a data centre is spent on hardware cooling, though the need for cooling would be substantially less in Iceland due to the cooler climate. The study also pointed to the good track record of Icelandic telecommunications and software companies and their cooperation with international businesses.
However, Iceland did not score as high as the US or UK on ‘quality’, mainly because of the current lack of choice in secure telecom connections to Europe and the US. The Icelandic government is addressing this by installing a new telecommunications cable to be completed by autumn 2008. Iceland was also perceived by many to have high natural disaster risk though in reality the risk is considerably lower than in the US, UK or India.
The report was conducted by Price Waterhouse Coopers for the Invest in Iceland Agency in association with Teymi, Hitaveita Sudurnesja, Orkuveita Reykjavikur, Farice, Siminn, and Landsvirkjun.
For further details on data centres in Iceland visit the Invest in Iceland Agency website http://www.invest.is/
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