Internet has increased the appetite for information. The information
age besides replenishing life with terra bytes of information at the click of
the button is entrapped by the burgeoning burden of snooping and data privacy. Now
world’s sophisticated technology firms are exploring for safe havens for data
privacy and storage. The sub-zero climes of the Scandinavian countries are now
preferred for surplus energy supply, excellent connectivity for data and
constant cool climate. Companies have started operating data centres from the
Arctic. The bone chilling temperatures of minus 40 centigrade temperatures are
now in great demand for operating server farms. Cold temperatures drastically
reduce the high costs associated to keep the servers cool. Indeed face book
established its first server in sub-Arctic town of Lulea, Sweden. More firms
are now hunting for such climes because of low electricity charges and high
levels of renewable energy.
Internet related activities account for ever increasing share
of the world’s energy usage. Face book was reprimanded by Green Peace for obtaining
53% of its energy from coal sources. With an intention to go green it
established its server farm in Scandinavian country with surplus geo-thermal
and hydro-electric power to cater for data storage. Google too runs its data
centre from Hamina in Finland. While big firms were successful in finding an
effective place for storing data, data protection laws of those jurisdictions must
be congruous too. Security and accessibility of data has become issue of grave concern.
Against these fears, Iceland is gearing
up to become Switzerland of the data by providing numerous data centres where individuals,
corporate and even countries can store their valuable information backed with
strong privacy laws.
Bank of America estimated that information and technology are
already consuming 10% of the World’ produced electricity. Green Peace reports
that energy usage for internet is expected to increase by 60% by 2020. While having
servers at a distant location may not greatly hamper the speed of operations
for services like Google and face book financial institutions will incur heavy
losses if data meanders through a distant server since a delay by a fraction of
second can topple stock markets. Hence
these locations may not be ideal for financial sector else Scandinavian region
has become a lucrative for its business of data storage. Innovative companies
are engineering efficient and less power intensive server technologies to reduce
energy requirements for data storage.
Iceland, tiny Nordic nation is offering a distinctive advantage
by setting stage for implementation of progressive data privacy laws. This has
become vital issue ever since the Whistle blower Edward Snowden’s revelations
regarding wide spread surveillance of the US. The International Modern Media
Institute (IMMI) has played a key role in designing and promoting the legal framework
for Iceland’s new privacy laws. A group of Icelandic activists began cherry
picking best laws from across the countries to evolve the World’s strongest
media and free speech protection laws as well as state-of-art privacy laws. The
data centres can greatly benefit from a clause in the law that ensures
protection of intermediaries like internet service provider and
telecommunication carriers. Titled as the ultra-modern freedom of information
act, the proposal provides protection to investigative journalists and whistle
blowers was passed in the Icelandic parliament.
Business analysts believe that Iceland can become a perfect
place for supercomputing and mining of virtual currencies like BitCoin given
the availability of high processing capacity. Most of the towns in Iceland are
promoting themselves as ideal locations for hosting cloud service industry from
around the world. In future don't be surprised if nations are hamstrung by Iceland for data violation acts.
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Incidentally this is my 200th blog post and I wish to thank each and everyone of you for your continued interest and support.