Building data centers now means weighing geopolitics and regulation, not just cheap power
What happened
Cloud computing is becoming a basic utility, like electricity. Where companies build data centers now depends on local laws and political stability, not just cheap electricity or fast internet.
Why it matters
This paper gives governments and companies a new way to think about where to put their digital infrastructure. It means that countries with stable laws and low political risk might attract more data centers, even if their power isn't the absolute cheapest. This changes how countries compete for a piece of the global digital economy.
The signal
Watch whether new data center investments start prioritizing regulatory stability and geopolitical risk over marginal cost differences in energy or land.