SWITZERLAND AND DATA CENTER: A PERFECT COMBINATION.
Keeping your data in Switzerland is safe and convenient. The reasons for an expanding market.
It has been already for several years that Switzerland is experiencing an exponential trend of the Data Center’s market growth. To witness the size of this boom are the numbers themselves. In facts, Switzerland has risen to the 9th place in the world for the presence of Data Center on its territory, with as many as 66 structures.
The US number of Data Centers with its 1’541 structure might seem unmatchable, however, if considering the density in relation to the number of inhabitants and the surface, the discourse changes radically.
In both cases, Switzerland is ranked second, behind only to the Netherlands, with a Data Center every 123 thousand inhabitants, and one every 625 km2. Numbers, which have increased with an annual rate of about 10% in recent years.
But what are the reasons that Switzerland is now set up as a real “promised land” for the Data Center, so much so that all the companies around the world transfer their data into our territory?
PRIVACY AND SECURITY
Switzerland is now widely considered the safest place in the world to save one’s data.
This is, first of all, due to a very restrictive legislation in terms of data protection. In comparison to many other countries (primarily the United States), Switzerland prohibits any access to the data in the absence of an injunction. In addition, Article 13 of the code that governs privacy foresees that no data deriving from web services shall be communicated or disseminated.
It is as well to take into account that Switzerland is not part of the EU, therefore, the EU authorities have no possibility to access the data: even with the international letters rogatory, numerous steps and procedures are to be overcome and to be addressed for the handling of the information.
Even in the case where accessibility to the data is required by the authorities, the modality are directed with maximum wardship towards persons subjected to investigation. The opposition to the requirement are as well eventually possible inside the courtroom.
The tradition of confidentiality that have always been the basis of the Swiss banking sector was, therefore, inherited by the legislation that regulates the protection of digital data. The reason for those who choose to transfer their data in Switzerland today is, thus, the motivation to protect them from prying eyes and tampering of any kind.
COMPETITIVE ENERGY COSTS
Another important aspect concerns the stability and competitiveness of energy supply that Switzerland guarantees.
Being able to count on a stable power grid and well connected at the international level is of paramount importance to the reality as of those of Data Centers. As among their prerogatives, Data Centers are to provide a continuous service and free of interruptions.
Even in terms of energy prices, Switzerland offers a distinctly favorable context than of the European average. This is thanks to an energy mix in which a significant portion is related to hydropower that is clean and cheap. Considering the main costs that a Data Center assumed, this could precisely be retraced for more than 70% from electricity costs; therefore, this is certainly not a minor issue.
ECONOMIC STABILITY AND SOCIAL POLICY
By and large, Switzerland is still a very attractive business platform: the capacity for innovation, an efficient labor market, an advantageous tax environment and a high level of competitiveness make Switzerland a great attraction magnet for investors from all sectors.
It is, especially, the economic, social and geopolitical stability that are determining factors for the operator of the Data Center to enter the market. Building a Data Center, in fact, means to make a long-term investment in a critically important infrastructure for businesses. Being able to count on stable and peaceful framework conditions and to an economy that resists the crisis is undoubtedly an advantage. For investors, but also for those who decide to deposit their data in Switzerland.