Estonian Manufacturer Bets €4M on Global Data Center Boom
Estonian manufacturer Harju Elekter is investing approximately 4 million euros to expand its Keila factory by 4,000 square meters, capitalizing on a surge in demand for data center infrastructure driven by favorable energy prices and a cooler climate in the region.
- —Harju Elekter is expanding its Keila factory by 4,000 square meters, investing approximately 4 million euros, to accommodate the growing demand for data center products.
- —The expansion is driven by a boom in data centers, which seek strategic locations with favorable energy prices and cooler climates, with Estonia being identified as a prime spot.
- —Estonian technology company Smitech OÜ is experiencing significant growth in industrial automation, with a 30% year-on-year increase and a target of 50% growth for the current year, expanding into export markets like Sweden and Finland.
- —Both companies highlight the importance of skilled engineering talent and strategic investment in technology and infrastructure to support their growth trajectories.
- —Harju Elekter also addresses daily cyber threats, emphasizing continuous investment in IT security to protect against malicious activities.
Recap
The parallel growth of Harju Elekter in manufacturing for data centers and Smitech in industrial automation signals a broader trend of Estonia leveraging its geographic and talent advantages to attract critical infrastructure projects. These investments are not isolated corporate wins but indicators of a strategic pivot towards high-value technological sectors. The persistent cybersecurity threats underscore the high-stakes environment of this emerging digital economy, where physical production and digital defense are intrinsically linked.