TikTok is set to invest €1 billion in a second data centre in Finland as part of a broader strategy to localise and secure European user data. The new facility, to be located in Lahti in southern Finland, is expected to begin with a capacity of 50 megawatts and scale up to 128 megawatts over time, with operations projected to commence by 2027.
The expansion follows ongoing construction of the company’s first Finnish data centre in Kouvola, which began less than a year ago and is scheduled to go live before the end of this year. Both projects form part of a wider €12 billion initiative aimed at ensuring that data from over 200 million European users is stored and managed within the region, reducing reliance on overseas infrastructure.
The move comes amid increasing regulatory scrutiny in Europe and the United States over data privacy and platform security, particularly concerning TikTok’s parent company, ByteDance. While the platform currently stores European data across facilities in Norway, Ireland, and the United States, the new investments are intended to strengthen safeguards and address growing concerns about data handling and user protection.
Finland has emerged as a preferred destination for large scale data infrastructure, attracting global technology firms due to its cold climate, cost efficient and low carbon energy supply, and favourable regulatory environment. Although some political concerns around transparency and security have been raised, local authorities in Lahti have welcomed the investment, describing it as a significant boost to the region’s economic and technological development.