Nordic Firms Seek Green, Sovereign AI Infrastructure
Nordic Firms Seek Green, Sovereign AI Infrastructure
Renewable power, heat reuse and local data requirements are reshaping private and hybrid cloud choices, ISG Provider Lens® report says
STOCKHOLM--(BUSINESS WIRE)--Nordic enterprises are adopting private and hybrid cloud infrastructure that combines AI-ready capacity, local residency and low-carbon operations as high-performance workloads and geopolitical risk reshape IT strategies, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a global AI-centered technology research and advisory firm.
Nordic enterprises link infrastructure decisions to resilience, data control and sustainability. As AI requires more energy and tighter governance, they are looking for hybrid environments that can scale and meet sovereign and environmental commitments.
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The 2026 ISG Provider Lens® Private/Hybrid Cloud — Data Center Services report for the Nordics finds that the region is evolving from a hosting destination into a backbone for European data processing. Enterprises are using the Nordics’ renewable energy and natural cooling to support cloud strategies that balance large scale with environmental consciousness and compliance with data sovereignty regulations.
“Nordic enterprises are connecting infrastructure decisions to resilience, data control and sustainability rather than treating cloud as a capacity purchase,” said Susanta Dey, director, ISG EMEA Cloud and Tech Modernization Practice. “As AI operations require more energy and tighter governance, they are looking for hybrid environments that can scale without weakening sovereignty or environmental commitments.”
Sustainability has become central to infrastructure sourcing in the Nordics as enterprises move beyond power usage effectiveness to require heat reuse, renewable energy and closer integration with local energy systems. Metropolitan areas such as Stockholm and Helsinki are mandating that data centers contribute to district heating, making energy circularity an important consideration for AI and high-performance computing workloads.
Digital sovereignty is also reshaping Nordic cloud strategies. Enterprises are seeking Nordic-only cloud instances and stronger assurances that sensitive data, operations and controls remain within the European Economic Area. These requirements reflect concerns about international data access laws and regional security risks, especially for regulated sectors that need resilient facilities and clear jurisdictional control.
Nordic enterprises are also reassessing how they manage infrastructure complexity as AI and generative AI become more widely used. Buyers seek providers that can move GenAI from pilots into industrial-scale operations with measurable outcomes. At the same time, an ongoing regional talent shortage is expected to increase adoption of agentic AI for IT operations (AIOps) to automate processes, maximizing the efficiency of IT teams, ISG says.
“The Nordics are becoming a proving ground for infrastructure that is sustainable, sovereign and AI-ready,” said Meenakshi Srivastava, ISG lead analyst and lead author of the report. “Providers that combine local operating knowledge, automation and high-density capacity will be most useful to enterprises balancing performance with control.”
The report also explores other trends shaping the Nordic market, including selective insourcing to retain critical architecture skills and the increasing use of liquid and immersion cooling in colocation services.
For more insights into the private and hybrid cloud-related challenges faced by enterprises in the Nordics, plus ISG’s advice for overcoming them, see the ISG Provider Lens Focal Points briefing here.
The report evaluates the capabilities of 54 providers across four quadrants: AI-ready Infrastructure Managed Services — Large Accounts, AI-ready Infrastructure Managed Services — Midmarket, Managed Cloud Hosting and Resilient Infrastructure Services and Sustainable Colocation Services.
The report names Orange Business and Vivicta as Leaders in three quadrants each. Atea, Kyndryl and Sopra Steria are named as Leaders in two quadrants each. Accenture, Bulk Infrastructure, Capgemini, CGI, Digital Realty, Equinix, Fujitsu, Green Mountain, HCLTech, Infosys, LTM, STACK Infrastructure, TCS, Tech Mahindra and Wipro are named as Leaders in one quadrant each.
In addition, Advania, Cognizant and Verne are named as Rising Stars — companies with a “promising portfolio” and “high future potential” by ISG’s definition — in one quadrant.
In the area of customer experience, CS Global IT is named the global ISG CX Star Performer for 2026 among private/hybrid cloud and data center service providers. CS Global IT earned the highest customer satisfaction scores in ISG's Voice of the Customer survey, part of the ISG Star of Excellence™ program, the premier quality recognition for the technology and business services industry.
A customized version of the report is available from Vivicta.
The 2026 ISG Provider Lens Private/Hybrid Cloud — Data Center Services report for the Nordics is available to subscribers or for one-time purchase on this webpage.
About ISG
ISG (Nasdaq: III) is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, including 75 of the world’s top 100 enterprises, ISG is a long-time leader in technology and business services that is now at the forefront of leveraging AI to help organizations achieve operational excellence and faster growth. The firm, founded in 2006, is known for its proprietary market data and research, in-depth knowledge and governance of provider ecosystems, and the expertise of its 1,500 professionals worldwide working together to help clients maximize the value of their technology investments.
Contacts
Press Contacts:
Laura Hupprich, ISG
+1 203-517-3132
laura.hupprich@isg-one.com
Philipp Jaensch, ISG
+49 151 730 365 76
philipp.jaensch@isg-one.com
