A former Trump official wants to build a massive data center in a remote corner of Greenland. Will it work?

A former official from the Trump administration has unveiled plans for a multi-billion-dollar data center in a remote region of Greenland, aiming to meet the escalating demand for AI infrastructure globally. This ambitious project is set to reach an operational capacity of 300 megawatts (MW) by mid-2027, with aspirations to expand to 1.5 gigawatts (GW) by the end of 2028. If successful, this facility would surpass the power capacity of any existing data center worldwide. The data center's construction is backed by significant financial commitments from investors, who have pledged to fund half of the initial and final phases of development, according to Drew Horn, a senior aide to former Vice President Mike Pence and the CEO of GreenMet, the company overseeing the project. The planned site is near Kangerlussuaq, a small settlement located at the mouth of a fjord on Greenland's southwest coast, which is accessible via an airport. While technical partners have been identified to assist in the development, securing land and obtaining necessary approvals from local authorities remains a challenge. Horn refrained from disclosing the names of the companies involved, as the information has not yet been made public. The focus on Greenland has intensified recently due to its geopolitical significance, particularly following discussions during Trump's presidency about potential U.S. acquisition of the territory. The region is rich in critical minerals and freshwater, although experts warn of logistical obstacles due to the island's limited infrastructure. In 2025, data center investments reached a staggering $61 billion, driven by the urgent need to support the energy-intensive requirements of AI technologies. Major tech companies, including Meta, OpenAI, and Microsoft, are pouring resources into building their data center infrastructures worldwide. The groundwork for the Greenland project has been in the works for about a year, with Horn emphasizing the importance of meeting key milestones, such as obtaining local government permits, for financing to proceed. Notably, former Trump administration officials, including George Sorial and Keith Schiller, have stakes in GreenMet but maintain that they are not actively involved in the company's operations. As Horn continues to engage with officials in both Greenland and Denmark, he underlined the necessity of diplomatic support for the project amid ongoing geopolitical complexities surrounding U.S. interests in the region. The project's initial phase will utilize specialized barges to transport liquefied natural gas to the fjord, a critical step toward achieving the planned 300 MW capacity. For the second phase, a hydroelectric facility is proposed to harness the island's natural resources, given that 70% of Greenland's energy currently comes from such sources. However, both the barge operations and the hydroelectric facility await the Greenlandic government's approval. Experts note that Greenland's cooler climate could provide significant benefits for data center operations, particularly in terms of energy efficiency and cooling costs. Yet, the project faces substantial challenges, including the high costs associated with Arctic construction, the short construction seasons, and the engineering complexities required to mitigate the impact of server heat on the surrounding environment. As the technology landscape evolves, the potential for more efficient chips may also influence future data center development strategies.