Reykjavik, Iceland - Modularity, a pioneering company dedicated to transforming the creation and development of large-scale undersea communications networks, and Borealis Data Center, a leader in sustainable data center solutions in Iceland and Finland, are pleased to announce a partnership to pursue the development of a new 100% renewable energy-powered AI data center and submarine cable system. Borealis Data Center's focus remains on sustainable high-tech data center operations in Iceland. Modularity will handle the development of the submarine cable system, aimed at improving communication capabilities

This project will launch, and significantly enhance, data connections between Iceland and the United States as well as further improve connections to the European continent. The first phase of the project will be operational by 2026; with targeted completion by 2028. This collaboration is part of a broader strategy to address evolving market demands and the critical need for sustainable digital infrastructure. Leveraging both Iceland's strategic geographic location, skilled local workforce, and access to reliable renewable power, this project aims to build a fully operational digital ecosystem for deploying AI and machine learning models across global markets.

Harnessing Iceland's Natural Advantages

“Iceland, renowned for its substantial geothermal and hydroelectric energy resources, offers an ideal environment for sustainable high-tech data center operations. The naturally cool and consistent climate provides an efficient solution for data center cooling, significantly reducing energy consumption and carbon footprint,” said Bill Barney, Co-Founder and Chairman of Modularity. “By leveraging these unique advantages, we are aiming to establish a robust AI hub in Iceland that not only excels in energy efficiency and environmental sustainability, but also strengthens and expands the existing data center industry in Iceland.”

Positioning Iceland as a Global Leader in AI Solutions

This partnership is set to have a positive impact across AI, IT infrastructure development, and related fields, leveraging Iceland‘s highly-skilled local workforce and driving economic growth, by fostering digital exports and facilitating high productivity job creation.

“By transitioning the use of sustainable energy generation towards forward-thinking, green IT, Iceland will further solidify its position as a global leader in digital innovation and environmental stewardship”, said Bjorn Brynjulfsson, CEO of Borealis Data Center. "This strategic partnership has the potential to create an interesting and vibrant digital ecosystem for AI and position Iceland as a global leader in IT and AI infrastructure, moving Iceland to the forefront of meeting global demands for sustainable AI infrastructure."

Building a Digital Ecosystem into the Future

Upon the completion of this project, Iceland will become a critical node for submarine cable connectivity, between North America, Europe, and beyond, enhancing global data transfer and communication capabilities.

"By establishing Iceland as a fiber rich subsea data connectivity hub, Iceland’s data center industry will continue to contribute to economic growth and drive technological advancements across the country," said Bjarni Thorvardarson, Modularity partner and former CEO of Hibernia Networks. "The Modularity team is excited to join forces with Borealis Data Center to bring this visionary project to life. By leveraging Iceland's unique conditions and clear value proposition, we are creating a sustainable, high-tech environment that will strengthen the nation's IT infrastructure and attract global businesses while also enhancing Iceland’s overall economic competitiveness and benefiting its society at large.”

The collaboration between Modularity and Borealis Data Center represents a significant step towards a greener, more connected future. With a focus on sustainability, innovation, and economic development, this project underscores Iceland's potential to become a major hub for the world’s digital ecosystem.

About Modularity

Launched in April 2024, Modularity is a pioneering company dedicated to transforming the creation and development of large-scale undersea communications networks through prefabricated modular systems. With focus on scalability, flexibility and sustainability, Modularity’s edge data centers offer a versatile solution to the unique challenges faced by emerging markets. Manufacturing in Pennsylvania, Modularity represents a significant leap forward in empowering emerging markets with cutting-edge digital infrastructure built and shipped from the United States.

About Borealis Data Center

With a legacy of innovation in renewable energy use and free air-cooling technology, Borealis Data Center has emerged as a leader in environmentally responsible data center solutions. Primarily operating in Iceland and now expanding in Finland, Borealis Data Center is distinguished by its recently acquired ISO 27001/18/17 certifications.

For more information, please contact:

Modularity:
Lorain Wong
[email protected]

Borealis Data Center
Blake Greene
[email protected]