Google went to Finland for its AI expansion. Now a cleared forest and a police probe threaten to overshadow its $15 billion investment

The aggressive attempts by Google to develop its infrastructure for artificial intelligence in Finland appear to have hit a snag in the form of a criminal investigation into alleged environmental offences at one of the proposed data centre locations.

Finland’s police force has begun investigating the activities conducted at the proposed location of a data centre in Muhos, which is a town located in the northern parts of the country. There are suspicions that Google’s Finnish subsidiary, Tuike Finland, cleared the forest and performed drainage activities without conducting environmental impact assessments as required by law.

The project forms part of a $15 billion investment that Google has made known in Europe since last month. However, the enormity of the project has been eclipsed by pictures of felled woodland, increasing criticism and doubts raised about whether the company abided by Finland's environmental laws.


As per an article published on Al Jazeera, along with Reuters, which covered the probe, it is being investigated whether the project violated the Finnish Water Act. The verdict of guilt will lead to a fine for the corporation, although the probe hasn't shown any criminal act yet.

Forest clearance puts Google's Finland project under the spotlight

The row became even more serious after the pictures emerged, showing the destruction of forests around the location where the data center would be constructed, according to the report by Al Jazeera.

The company was forced to halt the preparations on the Muhos site in the first week of October. The investigation involves questions such as drainage and water management, and the preliminary information shows that there might have been violations.

According to the words of Detective Superintendent Kari Pakanen to Reuters, the investigation aims at understanding whether the company has violated the Water Act and caused some damage to the environment. According to him, a conviction might result in a fine for the corporation. There is no information on whether anyone will be charged personally.

The issue has faced criticism from Finnish Green Party MP Oras Tynkkynen, who in an interview with Al Jazeera claimed that companies operating in Finland need to know their laws and can seek legal advice if necessary.

Tynkkynen stated that he feels the same way as the rest of the public does, explaining that there is no reason why a leading international tech firm can get off the hook for not fulfilling its local responsibilities.

On the other hand, Tynkkynen also warned that this dispute could distract people from focusing on another much bigger threat to biodiversity in Finland – its developed forestry industry.

Why Finland has become a destination for AI data centres

Investment from Google will be a manifestation of the increased interest from companies looking to increase their computing power in the country due to its cool climate and low-carbon energy resources. Government support towards Artificial Intelligence also made Finland a more favourable place.

The expansion project from Google in Finland is meant to build a foundation for services such as Gemini, Search, Maps, and YouTube.

The project from Google is not limited to just construction of data centres but also involves construction of electricity infrastructure and other facilities according to Al Jazeera.

Another factor in this discussion is the smaller number of the population in Finland, which amounts to less than six million people. The protests against the creation of data centres have not been as vocal as in some other places, including certain regions in the US, even though the Muhos case highlights environmental issues.

The excitement about attracting investments is still very strong in Finland. Prime Minister Petteri Orpo emphasised the benefits of the Google project, minimising the fear that large data centres might put extra pressure on electricity and make it more expensive.

However, the features that made Finland an appealing destination for technology businesses may raise a question regarding the capacity of the country to support more infrastructure without making new claims to its natural resources and energy.

The bigger question: Can Finland meet AI's growing energy needs?

The investigation being conducted by Google coincides with Finland's plans for an expected surge in power usage. As the Finnish grid operator, Fingrid, has noted, power usage can go up by as much as 40% if all of the initiatives seeking connection to the power grid are approved.

One of the main factors contributing to the anticipated spike in power usage is data centres, which are used for AI services. Computing power is required at such centres, which makes the availability of reliable electricity one of the most important issues when deciding on their location.

It is rather challenging to strike a balance between large investments aimed at developing the necessary infrastructure and environmental concerns.

The situation in Muhos has highlighted this problem once again. Finland is attractive for technology companies due to the country's natural endowments and energy resources. Public trust requires businesses to comply with the rules to protect the environment.

Immediate for Google is the necessity to cooperate with investigators and to respond to concerns expressed by Finnish authorities. As Al Jazeera cites Reuters, a spokesperson has confirmed that the company would cooperate with the police investigation and will continue to concentrate on compliance in its facilities.

It still remains unclear what the result of this investigation will be, and it is too early to regard this matter as an instance of misconduct. However, it is already clear that this conflict has posed the following question at the heart of Finland's AI strategy: how to ensure that billions of technology investments come to Finland with environmental protection?

In light of the race to develop artificial intelligence infrastructure, the controversy in Muhos illustrates the problem of separating economic benefits from environmental challenges.