Is Greenland the next frontier for AI infrastructure?

Group 1: Data Centre Infrastructure in Greenland - Global data centre electricity consumption is projected to increase by 50% by 2027 from 2023, making Greenland an attractive location for data centres due to its cold climate and renewable energy resources [1] - Greenland's energy generation is currently 70% from hydropower, providing opportunities for low-carbon electricity for future data centres [1] - The Nuuk data centre, a DKr146m ($21m) project, is designed to operate on 100% renewable energy and will utilize a free cooling system to enhance energy efficiency [1] Group 2: Strategic Resource Competition - Greenland is rich in critical minerals, including rare earth elements essential for advanced technology infrastructure, positioning it as a key player in resource competition [2] - The EU Commission estimates that Greenland holds significant quantities of 25 of the EU's 34 critical raw materials, highlighting its resource potential for high-tech infrastructure [2] Group 3: Geopolitical Significance - Greenland's location between North America and Europe is recognized as critical for US national security, with the Thule Air Base and proximity to Arctic shipping lanes [3] - Recent discussions by Donald Trump regarding the acquisition of Greenland emphasize its strategic importance in countering Russian and Chinese influence in the Arctic [3] Group 4: Challenges and Opportunities - The construction of scalable data campuses in Greenland would require significant infrastructure development, including expanded ports, power generation, and housing [6] - The demand for specialized Arctic engineering and modular construction techniques will increase, potentially leading to capital costs in the hundreds of billions over decades [6] - Existing subsea cables and plans to expand connectivity to North America enhance Greenland's feasibility as a transatlantic data hub [5] Group 5: Future Implications - The convergence of Arctic geopolitics, AI infrastructure needs, and construction capabilities suggests that Greenland could become a focal point for global data centre growth [7] - Any potential acquisition of Greenland by the US could have profound implications for NATO and reshape global construction markets [7]