Sweden has quietly become one of Europe’s most important data centre markets. A 97% electricity tax rebate, a grid that runs on 75% hydro and 25% wind, a cold climate enabling free air cooling year round, and a wave of hyperscaler investment totalling tens of billions of euros have combined to make Sweden a genuinely compelling hosting location. For businesses targeting Scandinavian audiences or organisations with sustainability requirements that go beyond what most European markets can offer, Sweden deserves serious consideration.
Each pin marks a data centre location for providers serving Sweden. Click a pin to see the provider.
Stockholm: Sweden’s Data Centre Capital
Stockholm dominates Swedish data centre infrastructure, commanding 36.29% of national capacity in 2025 and accounting for over 70% of revenue generated across Swedish data centre operations. The city is home to 21 operators across 38 facilities contributing over 170 MW of IT capacity. Major operators include Equinix, Digital Realty, Conapto, atNorth, Bahnhof, EcoDataCenter and GleSYS. EcoDataCenter, Digital Realty and Conapto collectively supply over 45% of current Swedish IT capacity.
Stockholm’s connectivity advantages are significant. The city sits at the crossroads of submarine cable routes connecting Scandinavia to the rest of Europe and to transatlantic networks. Netnod, Sweden’s primary internet exchange, is based in Stockholm and provides low latency routing to Nordic and Baltic audiences. Google launched its Europe-north2 cloud region outside Stockholm in March 2025, its 42nd global and 13th European region, backed by long term wind energy agreements exceeding 700 MW. Major customers on the Google Stockholm region include IKEA, Nordnet and Tradera.
In January 2026, atNorth announced a 30 MW metro data centre (SWE02) near its existing SWE01 Stockholm site, designed for cluster deployments with heat reuse integration. Digital Realty became the first global colocation provider to join Vattenfall’s 24/7 renewable energy matching programmes in Sweden in February 2025, ensuring electricity sourcing is matched hour by hour rather than on an annual average basis.
Beyond Stockholm: The Northern Expansion
While Stockholm dominates current capacity, the most significant new investments are heading north. Brookfield Asset Management announced SEK 95 billion (approximately $9.9 billion USD) in June 2025 for a 750 MW AI campus in Strängnäs, expanding from an initial 300 MW site. The investment includes a land allocation agreement for 350,000m² of additional land and will create over 1,000 permanent jobs with another 2,000 construction jobs over a 10 to 15 year build programme. It is one of Brookfield’s largest AI investments in Europe.
EcoDataCenter broke ground in September 2025 on a 240 MW campus at the former Kvarnsveden paper mill site in Borlänge, Dalarna. The facility will supply waste heat equivalent to 10,000 apartments and deliver first capacity in early 2027. EcoDataCenter secured €600 million in debt financing in September 2025 to fund this expansion alongside its Falun extension. The Falun facility already integrates renewable energy with heat recovery to supply district heating for local pellet production, achieving climate positive operations. atNorth’s Langsele campus in Västernorrland, a grid connection delays redirect new megawatt projects to Norrbotten and Västernorrland where land, power and grid capacity are more readily available than in greater Stockholm.
Internetport, one of the Swedish providers reviewed on this site, operates its own data centre in Hudiksvall, Hälsingland. Founded in 2008, Internetport owns and operates two physically separate data halls of 150m² and 400m² respectively, fully equipped for critical IT environments and PCI DSS certified. The Hudiksvall facility provides Swedish data residency for customers who specifically require hosting in Sweden outside the Stockholm concentration.
Sweden’s Renewable Energy and Tax Advantages
Sweden’s electricity grid runs on approximately 75% hydropower and 25% wind energy. The country targets net zero emissions by 2045 and 100% renewable electricity by 2040. This grid composition provides structurally low carbon intensity without requiring providers to purchase certificates or make aspirational claims. The physical generation mix delivers clean energy as a baseline.
The most significant financial advantage for data centre operators in Sweden is the 97% electricity tax rebate. The Swedish government reduces the electricity tax for data centre loads to 0.6 öre per kilowatt hour, cutting costs by approximately 40% compared to standard commercial rates. This structural cost advantage compounds with low carbon energy to make Sweden one of the most attractive total cost of ownership locations in Europe for compute intensive workloads. Long term power purchase agreements allow hyperscalers to lock energy costs for 15 years, insulating them from gas linked volatility in Germany and other continental markets.
The cold Nordic climate enables free air cooling for a significant proportion of the year, reducing or eliminating the need for mechanical chillers. District heating integration is progressing from pilot to commercial scale across Sweden, with waste heat from data centres feeding residential heating networks in Stockholm, Borlänge, Falun and Luleå. EcoDataCenter’s Borlänge campus is designed to supply heat for 10,000 apartments, turning what is normally an environmental cost into community infrastructure.
Swedish Hosting Providers
Sweden has a well established domestic hosting industry. group.one, the parent company of One.com, is headquartered in Sweden and operates across 15+ European markets serving over 2 million customers. One.com is the consumer facing brand offering shared hosting, domains and website builder tools with localised sites across Europe and straightforward pricing. It uses colocation infrastructure via GlobalConnect, Equinix, DigiPlex and Interxion across Northern and Central Europe.
Internetport Sweden AB, headquartered in Hudiksvall since 2008, takes a different approach. Rather than operating as a consumer brand across multiple markets, Internetport focuses on the Swedish business market with its own data centre infrastructure, colocation services, dedicated servers, VPS and web hosting all running from Swedish soil. It is PCI DSS and ISO 27001 certified, offers Swedish language support during business hours, and has built a reputation for technical expertise and proximity to customers that larger international providers cannot match. For Swedish businesses requiring genuine Swedish data residency with direct access to the provider’s own infrastructure, Internetport is the standout local option.
GleSYS, also Swedish, is worth noting as a provider serving developers and technical users with cloud, VPS and dedicated servers from Swedish data centres. Bahnhof, one of Sweden’s most distinctive hosting companies, has built data centres in unusual locations including a former nuclear bunker in Stockholm and operates with a strong privacy and renewable energy focus.
GDPR in Sweden
Sweden applies GDPR directly as EU law, supplemented by the Swedish Data Protection Act (Dataskyddslagen) which implements GDPR at national level and adds Swedish specific provisions. Sweden’s supervisory authority is the Swedish Authority for Privacy Protection, Integritetsskyddsmyndigheten (IMY). IMY is an active GDPR enforcer and has issued significant fines against organisations in healthcare, financial services and the public sector.
Sweden’s Digital Transformation Strategy 2035 prioritises digital skills development, cybersecurity and tech driven public services. The national AI strategy expected in 2026 will shape how AI systems are regulated and what data handling requirements they must meet. For businesses hosting in Sweden, EU GDPR compliance combined with Swedish data residency removes cross border transfer complexity and keeps data under Swedish and EU jurisdiction. The European AI Act’s requirements for AI systems are simplified when compute and data remain within the EU.
Web Hosting Providers Based in Sweden
The following hosting companies are headquartered in Sweden. Each has been independently reviewed on TopSiteHosters.
Frequently Asked Questions
Why is Sweden attracting so much data centre investment?
Three structural advantages stand out. First, Sweden offers a 97% electricity tax rebate for data centre loads, cutting energy costs by approximately 40% versus standard commercial rates. Second, the grid runs on 75% hydro and 25% wind, providing structurally low carbon energy at scale without relying on certificates. Third, the cold climate enables free air cooling for much of the year, reducing mechanical cooling energy. Brookfield’s SEK 95 billion Strängnäs campus and EcoDataCenter’s 240 MW Borlänge facility reflect these structural advantages attracting global capital.
Which Swedish hosting provider is best for a small business?
For Swedish businesses wanting domestic infrastructure with local support, Internetport is the standout choice. It operates its own data centres in Hudiksvall and Stockholm Kista, is PCI DSS and ISO 27001 certified, and offers genuine Swedish data residency. For businesses primarily wanting affordable hosting with a simple interface across multiple European markets, One.com (part of group.one) is the more accessible option. For developer focused workloads, GleSYS offers Swedish cloud and VPS hosting with a technical focus.
Is Swedish hosting GDPR compliant?
Yes. Sweden applies GDPR directly as EU law, supplemented by the Swedish Data Protection Act. The supervisory authority is IMY (Integritetsskyddsmyndigheten). Hosting in Sweden keeps data under EU and Swedish jurisdiction, satisfying GDPR data residency preferences and eliminating the need for Standard Contractual Clauses that would be required for non-EEA hosting.
What is Netnod and why does it matter?
Netnod is Sweden’s primary internet exchange, connecting Swedish ISPs, content providers and enterprise networks through direct peering in Stockholm. It is one of the most important internet exchanges in the Nordic region and a key reason Stockholm has developed as a major data centre hub. Servers hosted in Stockholm connected to Netnod infrastructure reach Swedish and Nordic residential users with very low latency, typically under 5ms for Stockholm audiences and under 20ms for the broader Nordic region.
Is Swedish hosting good for Nordic audiences?
Excellent. A server in Stockholm delivers sub 5ms latency to most Swedish audiences and sub 20ms to Denmark, Norway and Finland. For businesses with a primarily Nordic audience, Swedish hosting is the natural starting point. For pan European audiences, Frankfurt or Amsterdam may provide better average latency across the continent, though Swedish providers increasingly use CDN networks to serve international audiences from cached edge locations.