Google's $1bn investment in UK datacentre to boost tech landscape

Google emphasises sustainabilty in addition to jobs

Google is expanding its operations in the UK with a $1 billion investment in a state-of-the-art datacentre located just outside London.

This significant investment underscores Google's intent to meet the growing demand for AI and cloud services, fostering innovation, and creating job opportunities for the local community.

Google had acquired the site in Waltham Cross, approximately 24 km north of central London, in 2020 and is now set to transform it into a cutting-edge facility to support its AI and cloud services.

It's a rare piece of good news for the beleaguered Prime Minister Rishi Sunak, and he highlighted the UK's excellence in technology and potential for growth.

"The UK is a fantastic place to invest, and Google's $1billion investment is testament to the fact that the UK is a centre of excellence in technology and has huge potential for growth," Sunak said.

"Foreign investment creates jobs and grows all regions of our economy and investments like this will help to drive growth in the decade ahead. I will continue to back businesses to invest and innovate here in the UK."

Chancellor of the Exchequer Jeremy Hunt hailed the investment as a "huge vote of confidence" in Britain as the largest tech economy in Europe, foreseeing positive impacts on job creation and the future growth of industries.

Science, Innovation and Technology Secretary Michelle Donelan, said: "The UK is already home to some of the world's leading lights across science and technology, today's announcement further cements our status as a global destination for innovation."

Alphabet's Chief Financial Officer, Ruth Porat, highlighted the significance of the new datacentre, stating, "This new datacentre will help meet growing demand for our AI and cloud services and bring crucial compute capacity to businesses across the UK while creating construction and technical jobs."

Google has been careful to emphasise the sustainability of the datacentre - prompted in part by the greater scrutiny being applied to the sustainability of cloud services and the datacentres powering them. Google has a stated objective of net-zero emissions across its operations and value chain by 2030. The datacentre in Waltham Cross will contribute to this goal, with plans for off-site heat recovery (something Computing covered very recently) and an air-based cooling solution.

This approach is helpful if you want to persuade people living close to a potentially enormous datacentre of its merits, (plenty of communities in Europe have rejected datacentres due to concerns about local resources) although a boost to the local economy in the forms of contruction and engineering jobs is also likely to be considered positively.

Google's announcement follows the company's pattern of investments in the UK, including the notable $1 billion purchase of the Central Saint Giles office in 2022 and the establishment of a 1 million sq. ft. development in King's Cross.

The tech giant has also expanded its physical connectivity efforts, with the laying of the subsea cable named "Grace Hopper," connecting the UK with the United States and Spain. This infrastructure enhancement is expected to bolster internet connectivity and data transfer capabilities, contributing to a more seamless and efficient digital experience.

Google says its commitment to the UK extends beyond physical infrastructure and into the realm of education and skills development.

The company has reached over 500 locations across the UK since 2015, providing free digital skills training to over a million individuals.

In 2023, Google expanded its Digital Garage training programme to include a new AI-focused curriculum, empowering more Brits to harness the opportunities created by rapidly advancing AI technology.