Google writes a €13 billion Finnish cheque and buys Loviisa nuclear power

Google will spend at least €13 billion, about $15.1 billion, on artificial intelligence infrastructure in Finland in 2027 and 2028, the company said on 9 September. Ruth Porat, Alphabet's president and chief investment officer, called it the firm's largest single investment in Europe.

The money pays for three new data centres in Kajaani, Muhos and Vaala and for an expansion of the Hamina site, a converted paper mill Google has used since 2009. The racks will serve Gemini, Search, Maps and YouTube.

The power deal is the part that changes a plant's life. Google signed a 22-year contract with Fortum to buy up to 50% of the output from one unit at the Loviisa nuclear station. Porat described the approach as "BYOP, bring your own power" and said it was Google's first nuclear agreement outside the United States. Bloomberg reported that the offtake helps unlock about €1 billion of investment needed to keep Loviisa running through the end of its licence in 2050.

Why Finland

Data centres throw off heat. Finland's climate cuts the cost of cooling. The grid mix is heavy on nuclear, hydro and wind, which helps companies that have promised low-carbon power. Land and permitting, while not simple, are more predictable than in several larger EU states that have begun to resist new halls.

TikTok owner ByteDance announced a $1 billion centre in Kouvola earlier the same week, citing the same list: clean power, data rules and engineers. Microsoft has been shopping in the Nordics for the same reasons. Alphabet told investors this year that its global capex would sit between $195 billion and $205 billion as it chases AI compute.

Google says construction will support more than 37,000 jobs, about 16,000 of them on the sites, and add €3.6 billion a year to Finnish GDP while building lasts. Once the halls are running, the company projects about 7,000 jobs a year in operations, suppliers and the shops that serve those workers. Prime Minister Petteri Orpo welcomed the announcement and played down fears that the load would lift household power prices.

What else is in the package

The plan includes new wind capacity, grid upgrades and a 94-megawatt battery meant to steady prices during cold, still weeks. There is also money earmarked for biodiversity, schools, research and training. Those side funds are small next to the halls. They are there because local acceptance now sits on the critical path for any large compute project in Europe.

Loviisa's two Soviet-designed VVER reactors have supplied Finland for decades. Extending them is cheaper than building new ones. A 20-year-plus buyer for half a unit's output is the sort of contract a utility needs before it spends on life-extension work. For Google the contract is insurance against a power market that has already shown it can spike when the wind drops.

The European race

Governments want the investment and fear the grid impact. Ireland, the Netherlands and parts of Germany have slowed or capped new data centres. Finland is taking the opposite trade: invite the load, sell the clean power, and count the construction jobs. Whether household bills stay flat is an empirical question that will be answered in 2028, not in the press release.

For now the facts are on the paper. €13 billion over two years. Four municipalities. A 22-year nuclear offtake. First Google nuclear deal outside the United States. Loviisa's licence runs to 2050. The halls are meant to be pouring concrete in 2027.