Uruguay gets $5.7bn Solaria data center project

Spanish company Solaria will invest about $5.7 billion to build a data center complex in Uruguay, Montevideo announced on Wednesday, October 14.

Uruguayan President Yamandu Orsi said most of the investment would go to the data centers, while $200 million would be set aside for a solar power plant to supply the complex.

Orsi said Uruguay’s renewable energy system and stability had helped attract the project. The country gets 98 percent of its electricity from renewable sources.

Industry, Energy and Mining Minister Fernanda Cardona said Solaria’s data centers would be located in Canelones, near Montevideo, and in the western San Jose department.

Demand for computing power linked to artificial intelligence has driven growth in data centers, though such facilities have faced criticism because of their electricity and water use.

Solaria is already present in Uruguay, where it sells solar energy from two photovoltaic plants to the state public utility.