The data centre will be located on a 33-acre site that Google bought in October 2020 and will help ensure “reliable digital services” to Google Cloud customers and users in the UK.
"The Waltham Cross data centre represents our latest investment in the UK and the wider digital economy at large,” said Ruth Porat, president, chief investment officer and chief financial officer of Alphabet and Google.
“This investment builds upon our Saint Giles and Kings Cross office developments, our multi-year research collaboration agreement with the University of Cambridge, and the Grace Hopper subsea cable that connects the UK with the United States and Spain.
“This new data centre 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 for the local community. Together with the UK government, we are working to make AI more helpful and accessible for people and organisations across the country."
UK investment
Google has been operating in the UK for over 20 years and currently employs over 7,000 people in the country.
The new data centre will help the company to grow its business in the UK and Europe. According to 2023 independent research, Google in the UK drives over £118 billion in economic activity.
The investment was heralded by UK Prime Minister Rishi Sunak. He said: "The UK is a fantastic place to invest, and Google's $ 1 billion investment is testament to the fact that the UK is a centre of excellence in technology and has huge potential for growth.
"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.”
Michelle Donelan, science, innovation and technology secretary said the investment will bring forward a new wave of opportunities and skilled jobs.
"By basing their new data centre on our shores, Google is providing British businesses, including our bustling start-ups, with more reliable access to some of the world's leading cloud technology, underpinning their innovation and success,” she added.
The announcement follows several existing and ongoing UK investments supporting the country and its wider economy.
This includes the Grace Hopper subsea cable connecting the UK to the US, one million square foot development in King’s Cross and the 2022 purchase of Central Saint Giles development.
Neos reaction
Matt Rees CTO at Neos Networks said: “Google's establishment of a new data centre in the UK, just outside of London, reflects a broader trend among major cloud companies strategically locating their data centres close to highly populated and business-centric areas.
"This move is driven by the growing demand for low-latency and high-bandwidth connectivity, especially in the context of emerging technologies like artificial intelligence (AI) and other applications that rely on real-time data processing.
"Moreover, positioning data centres in the UK holds strategic significance for serving both European and transatlantic markets.
"The UK serves as a pivotal gateway between Europe and the United States, offering a central and well-connected location for cloud services. This strategic positioning enhances the efficiency of data transfer, ensuring that services are not only accessible but also delivered with optimal speed and reliability to users across these regions.”
