Energy transmission company Global Interconnection Group (GIG) is partnering with Scale42 through their joint venture GIGA-42 Holdings Limited to develop a data centre campus in northern Iceland.
The collaboration involves a Memorandum of Understanding with Norðurþing Municipality to build an AI-optimised facility at Bakki, Húsavík.
The phased modular campus targets initial capacity of 50 MW, positioning it among Iceland's largest data centre sites. The location benefits from proximity to Landsnet's 220 kV transmission line, the Bakki electricity substation, and fibre connectivity.
GIG, an EuroNext-listed firm traditionally focused on interconnector power cables and transmission infrastructure, acquired a 20 percent stake in GIGA Holdings. The companies aim for a final investment decision in 2026, with operations commencing in 2027.
Scale42, established by founders of Fjord Power and Hydrokraft, maintains "a development pipeline exceeding 1 GW across the Nordics." The partnership leverages GIG's expertise in undersea cables and energy transmission to secure sites with renewable power access and grid infrastructure suitable for AI data centres across Iceland, Norway, Sweden and Finland.
