Fossefall AS has entered into an agreement to acquire Fyresdal Datacenter from Norsk Data AS and will establish its first AI factory in Norway.
The purchase of Fyresdal Datacenter is a strategic step in Fossefall's ambitious plan to build Nordic-owned AI factories in Norway and Sweden with up to 500 megawatts of capacity by 2030. The recently announced company has said that 11 locations are under negotiation and development.
"The establishment of Fossefall's first AI factory in Fyresdal marks the start of our plan to develop Norwegian hydropower and expertise to build Europe's AI infrastructure", says Øyvind Vesterdal, CEO of Fossefall. "By refining clean energy into high-tech AI capacity, we will ensure national control over critical technology, create a billion-kroner export commodity and generate significant local ripple effects.”
Quick delivery
Fossefall's goal is to deliver scalable, secure and energy-efficient AI infrastructure to players with strict requirements for the verifiability of AI models. The facility in Fyresdal is already in operation, and an important goal of the acquisition is to be able to offer customers capacity fast.
“The demand for secure AI in Europe is growing faster than the infrastructure needed to support it. This agreement enables us to get up and running faster than planned and sends a clear signal that the market wants solutions that can be delivered quickly”, Vesterdal explains.
On 10 November, Fossefall announced a partnership with US-based Seekr Technologies, which supplies the US government and defence sector, among others. The agreement provides exclusive access to an enterprise platform for the development, operation and control of generative and agentic AI in Europe.
“By combining Nordic AI infrastructure with technology that provides full control over how AI operates, we are enabling European companies to use AI in critical systems within a short time frame”, says Vesterdal.
Reserved grid capacity
Fyresdal in Telemark is particularly well suited for Fossefall's AI factory. The municipality has a cold inland climate that contributes to natural cooling and thus energy-efficient operation of the data centre. In addition, the municipality is actively working to facilitate business development, and collaborate well on the development of AI factories. Efficient regulatory processes contribute to faster project implementation, which is essential to meet the rapid development in the AI market.
“It is important to emphasise that Fyresdal Datacenter has already reserved grid capacity. This means that the establishment of Fossefall's AI factory will not require more power and grid capacity than the existing licence for the data centre already provides. This ensures predictability in the power supply and creates no immediate competition for new grid capacity", Vesterdal explains.