Construction of Green Mountain’s Hamar Data Center Generates Significant Economic Impact

A new milestone report from Menon Economics shows that the construction of three data center buildings in Hamar has generated NOK 6.1 billion in value added and supported 4,700 FTEs (full-time equivalents). These results are in line with the economic impact estimated in a previous report before the project began. The report also highlights the strong involvement of local suppliers. Now that the facilities are operational, 220 people have permanent jobs at the data center.

The OSL-Hamar data center was announced in March 2023, and three of the five planned buildings have already been in full operation for some time. The facility is built and operated by Green Mountain for the sole tenant TikTok, which uses the site to store and process data for its 175 million European users as part of Project Clover*. Green Mountain has invested approximately NOK 9.7 billion in the three buildings, which together provide a total capacity of 90 MW.

Green Mountain commissioned Menon Economics to analyze the economic impact of the construction phase and compare actual results with the estimates published in its earlier report.

“In preparing this report, we had access to detailed data on Green Mountain’s investments. This enabled us to compare actual outcomes with our 2023 estimates and provide a thorough analysis of the economic impact during the construction phase. It has been a valuable process to document how a project of this scale translates into concrete value added and employment, both locally and nationally,” says Jonas Erraia, Partner at Menon Economics.

Key findings from the report include:

Construction has generated NOK 6.1 billion in value added.
Supported 4,700 FTEs during the construction phase.
Of this, NOK 5.7 billion and 4,400 FTEs have already been realized; the remaining NOK 400 million and 300 FTEs are expected by 2026 in connection with the completion of the office building.
Green Mountain has invested around NOK 9.7 billion in the first three buildings.
Many local suppliers have been involved.
Today, 220 people are permanently employed at the data center in connection with operations (not construction).
At full build-out (five buildings), the total economic impact is estimated at NOK 11.6 billion in value added and 8,900 FTEs.
The report also notes that TikTok has invested an additional NOK 30 billion in servers, equipment, and services for the project.

The report was pre-launched during a conference with participation from the mayors of Hamar and Løten, representatives from TikTok, and the local business association.

“This is the largest industrial investment in Innlandet county ever and represents a key step in the region’s efforts to enable green industry development. Our specific goal was to facilitate 350 new jobs, and we see that Green Mountain’s initiative is well on its way to delivering on that. Many local suppliers are contributing with goods and services, and the project is also attracting new residents to the region,” says Vigdis Stensby, Mayor of Hamar.

Mayor of Løten, Marte Larsen Tønseth, agrees:

“The establishment represents a historic opportunity for both Løten and the wider region. We are already seeing how Green Mountain’s data center generates local economic impact – both through the engagement of our businesses and by encouraging young people to return home, as well as attracting new residents to our area thanks to exciting new jobs.”

Are Koppang, Regional Director at Green Mountain, adds:

“The figures in this report show the significance the data center has already had for both the local region and Norway. We are proud to contribute with jobs, competence, and investment – and look forward to further developing this in close collaboration with the local community.”

Read the full report here.

*TikTok’s initiative to ensure data security in line with EU privacy requirements.