In London, at the ARC conference, Copenhagen Consensus President Bjørn Lomborg discussed Finland’s unexpected formula for tech success, which includes embracing failure and leveraging its cold climate.
Over the last 15 years, Finland has become a hub for data centers, benefiting from the cold temperatures that help prevent servers from overheating. Among the major investors is Google, which has invested over $4.5 billion in Finland, notably at a former paper mill in Hamina. Meanwhile, TikTok plans to invest approximately $1 billion in a new data center in Kouvola.
Marita Toikka, the mayor of Kouvola, highlighted Finland’s advantages for data centers, including efficient government services, a favorable climate, renewable energy, and excellent logistical connections. Additionally, the heat generated by data centers can be redirected into community heating systems, reducing energy costs during Finland’s harsh winters.
Telia has recently opened a data center in Helsinki capable of recycling up to 90% of its waste heat, enough to warm 14,000 duplexes. Kalle Hasu, Telia’s manager for cooling and automation, described this as an emission-free solution that aids in transitioning to non-burning energy production.
Finnish tech companies are well-known for products like the Oura smart ring and games such as Angry Birds. However, Finland also excels in fintech, green tech, and other innovations. In Helsinki, the startup hub Maria 01 supports numerous tech entrepreneurs and has generated over $1 billion in funding.
The downfall of Nokia, once a major contributor to Finland’s GDP and exports, led to significant job losses but simultaneously fueled the growth of new tech ventures. Many founders emerged from corporate backgrounds, motivated by severance packages to start their own businesses.
Finland’s startup ecosystem benefits from government support and annual events such as Slush, which attracts global attention to Helsinki’s tech scene. Suvi Haimi, a biochemistry entrepreneur at Maria 01, emphasized the importance of learning from failure in her entrepreneurial journey, reflecting a broader national mindset that views risk-taking as vital to achieving substantial success.
