Google CEO announces $3.3B data center build out in Europe

Google CEO Sundar Pichai announces his company is investing to build more data centers across Europe. (Pixabay)

Google CEO Sundar Pichai said his company is investing 3 billion euros ($3.3 billion) to expand the company's data footprint across Europe over the next two years.

Pichai announced the investment in a blog post, and also held a joint news conference with Finland Prime Minster Antti Rinne in Helsinki on Friday.

Pichai also announced that Google would invest an additional 600 million euros ($660 million) into its Hamina, Finland data center, bringing its total investment in that data center facility to 2 billion euros ($2.2 billion) since 2009.

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RELATED: Google to splash $670M on new Finland data center

In May, Google announced it was spending $670 million to build a new data center in its existing data center complex in Hamina, which is on the south coast of Finland.

"Our Hamina data center is a significant driver of economic growth and opportunity," Pichai said in his blog. "It also serves as a model of sustainability and energy efficiency for all of our data centers."

Pichai said that Google's investments in Finland would support approximately 4,3000 jobs per year on average over the next two years and beyond.

With data centers requiring massive amounts of powering, Pichai addressed some of those concerns by also announcing his company was working on minimizing the environmental impact. Half of the renewable energy that Google bought in a recent deal will be committed to Europe with the launch of 10 renewable energy projects.

"These agreements will spur the construction of more than 1 billion euros in new energy infrastructure in the EU, ranging from a new offshore wind project in Belgium, to five solar energy projects in Denmark, and two wind energy projects in Sweden," he said. "In Finland, we are committing to two new wind energy projects that will more than double our renewable energy capacity in the country, and ensure we continue to match almost all of the electricity consumption at our Finnish data center with local carbon-free sources, even as we grow our operations."

In Google's first quarter earnings call, Pichai said the company would invest more than $13 billion throughout the year in data centers and offices across the U.S. with major expansions in 14 states.

RELATED: IHS Markit: Global data center construction continues to grow

Data centers are the key element for hyperscale cloud providers such as Google, Amazon Web Services, and Microsoft Azure, providing services and applications in the cloud instead of on hardware.

Global data center construction is booming, as the leading cloud and colocation providers will add an estimated 14 million-square-feet of capacity this year, according to a report in August by IHS Markit.

In addition, another 4.5 million square-foot of capacity is already in the works for the first half of next year. IHS Markit is currently tracking 135 new data center building and expansion projects that are slated to finish this year.

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