We are developing AI power for the whole of Europe

Vesterdal grew up in the Norwegian oil capital of Stavanger — once the symbol of the country’s petroleum era. Now, he wants to spark a new industrial renaissance in Norway and Sweden.

"We must manage our electricity in such a way that the value we create benefits our nations," says Øyvind L. Vesterdal, CEO of Fossefall.

For him, the rise of artificial intelligence is about more than technology. It is about ownership, value creation, and building an industry that lasts.

Fossefall is a Nordic start-up that focuses on building green AI factories: data centres powered by hydropower and local energy. While many international players are buying up capacity in Norway to secure inexpensive electricity, Fossefall intends to use surplus power to create a digital industry and generate jobs here at home.

"We are at a crossroads. We either sell the electricity cheaply as a raw material and buy back AI capacity at a high cost, or we use the power ourselves to build value. Our goal is to refine the energy, not export it," says Vesterdal.

He draws a parallel to the origins of Norway’s industrial history: "In the same way we used hydropower to build aluminium plants and smelters a hundred years ago, we must now use it to build a digital industry. Norway and the Nordic countries have clean energy, political stability, and a high level of trust: in fact, everything the global market demands."

Vesterdal understands the opposition to today's data centres.

"The criticism is justified. Many of the plants that have been built in recent years have been pure power drains without any local roots. Some have produced cryptocurrency and contributed minimally to the local community," he says.

Fossefall thinks differently in its business strategy.

"We are building in locations where the grid already has capacity, and we are using surplus power that is not currently being utilised. This will ensure that there are no increased electricity costs. We refine renewable power into high-tech AI capacity, for use in safety, health, research and other socially beneficial purposes," says Vesterdal.

After many years in the finance and investment industry, Vesterdal chose to start over.

"I've always wanted to build something that will last. Even though I've had exciting jobs, I've missed the feeling of creating something."

When Vesterdal saw how rapidly AI was growing, the direction became clear. "The need for AI computing is increasing enormously, at the same time as Europe lacks both power and infrastructure. The Nordic countries have both," he says.

Together with a team of experienced entrepreneurs and leaders from the data centre and IT industry, he founded Fossefall. "We must not simply ride the trend. We must build an industry with which we can grow over time, together with our partners."

The concept of sovereign AI has become central to European technology and security policy. For Vesterdal, this is about something concrete.

"Sovereign AI means that we must own our own digital foundation. Today, critical data runs on foreign platforms. That is not sustainable. The Nordic countries must have their own solutions for storing and processing data," he says.

He believes we have a unique opportunity now: "We have green power, political stability and a high level of trust. This makes us a natural partner when Europe is building its own AI infrastructure. We can offer sustainable, safe and transparent capacity – but we must seize the opportunity now.

If its ambitious goals are to succeed, Fossefall must build good partnerships, with municipalities, energy companies, and international players.

"We are inviting partners and customers to build this together with us. Just like during the petroleum era, we must obtain expertise and capital from abroad, while ensure that value creation remains at home. That is precisely the model we are now using again," says Vesterdal.

He smiles before adding: "We will refine the flow of artificial intelligence. It sounds poetic, but it is concrete. We are creating value that will remain for decades. We are building an industry."

For him, it's also about the next generation. "I want my children to grow up in a country that creates its own value, not one that rents it from others. We built the oil adventure in the '70s. We now need to build the AI era together.

This is not just a Norwegian project. It is a Nordic industrial era. But it starts here with Norwegian power, in combination with Nordic values, and international cooperation.»