XTX Markets, a prominent algorithmic trading firm, has unveiled plans to construct a cutting-edge data center campus in Kajaani, located in Finland’s Kainuu region. The project will involve a significant investment exceeding $1 billion, with a goal of enhancing the company’s computing infrastructure to support its growing business demands.
Key Details of XTX Markets’ Data Center Investment
XTX Markets will develop a vast data center complex spanning 478 acres, with the first phase of construction set to break ground imminently. This phase will feature a 15,000-square-meter (161,460 sq ft) facility, designed to deliver 22.5 megawatts (MW) of IT capacity spread across three data halls. The campus will support XTX’s advanced machine learning operations, which are crucial for analyzing large-scale data to generate price forecasts for financial instruments.
A Strategic Investment in Computing Power
Joshua Leahy, XTX Markets’ Chief Technology Officer, emphasized the company’s focus on long-term sustainability by building its own infrastructure. Leahy explained, “Having our own data centers enables us to deploy increased computing power on our terms, cost-effectively, and in a way that keeps pace with our growing business.” The need for reliable, scalable computing resources has outgrown available leasing options, prompting XTX to take proactive steps to future-proof its operations.
Waste Heat Utilization for Local Communities
In an effort to integrate sustainability into the project, XTX Markets plans to offer waste heat generated by its data centers to the surrounding Kajaani community. This approach will help reduce the environmental impact while contributing to local energy needs.
Expansion Plans for the Kajaani Data Center Campus
Once the first data center is operational, XTX Markets intends to expand with up to four additional buildings in the coming years. The company’s total investment could eventually support a massive 250 MW of computing capacity, marking a major milestone in its infrastructure development strategy.
Local Collaboration for Construction
The construction project is already underway, with the groundwork being managed by Sundström AB and the main construction duties assigned to YIT. The collaborative efforts of these local contractors will help ensure the timely and efficient completion of the first data center by 2026.
The Role of XTX Markets in Global Algorithmic Trading
XTX Markets relies heavily on sophisticated machine learning models to generate price forecasts for a vast array of financial instruments, including equities, fixed income, currencies, commodities, and cryptocurrencies. The company processes over $250 billion in trades daily, underscoring the critical importance of robust, scalable infrastructure to support its operations.
High-Tech Research Infrastructure
The firm’s research cluster currently houses over 25,000 GPUs, offering more than 650 petabytes of usable storage to handle its extensive computational needs. These systems play a central role in the firm’s algorithmic trading strategies, reinforcing the necessity of having dedicated data centers to ensure optimal performance.
Strategic Importance of Kajaani
Kajaani is emerging as a significant hub for high-performance computing in Finland. The Lumi supercomputer, which serves as one of Europe’s most powerful computing systems, is also located in the region. XTX Markets’ new data center complex will bolster the area’s reputation as a center for advanced technology infrastructure.
Finland’s Growing Data Center Ecosystem
XTX’s decision to build in Finland reflects the country’s appeal as a location for data center investment. Finland’s reliable energy sources, including renewable energy, combined with its cool climate, make it an attractive destination for companies requiring high-density computing infrastructure. The region is also home to other notable data center developments, including Google’s planned facility and Borealis Data Centers’ acquisition of a site at the Renforsin Ranta Business Park.
Government Support for Data Center Expansion
Wille Rydman, Finland’s Minister of Economic Affairs, praised XTX Markets’ decision to invest in the region. He highlighted the impressive speed at which the company has begun its construction efforts and underscored the positive impact the expansion will have on the local economy.
FAQ
1. What is the expected timeline for XTX Markets’ data center project in Kajaani?
The first data center is set to be completed by 2026, with additional buildings planned in the following years. The full 250 MW campus could take several years to fully develop.
2. Why did XTX Markets choose Kajaani for its new data center campus?
Kajaani offers a cool climate, renewable energy sources, and proximity to Finland’s Lumi supercomputer, making it an ideal location for high-performance computing and data center operations.
3. How will XTX Markets use the waste heat from its data centers?
XTX Markets plans to provide waste heat from its data centers to the local community, contributing to regional energy needs and promoting sustainability.
4. What is XTX Markets’ role in the financial industry?
XTX Markets is an algorithmic trading firm that uses machine learning to analyze data and generate price forecasts for over 50,000 financial instruments. It processes $250 billion in trades each day.
5. What technological infrastructure will the Kajaani data center support?
The data center will support XTX Markets’ machine learning models, which are essential for the company’s algorithmic trading operations. It will also house more than 25,000 GPUs and 650 petabytes of storage.
