Scandinavia has long been regarded as a connectivity hotspot, and to maintain this reputation for its clients in the era of increased and network-intensive artificial intelligence (AI) workloads, Arelion has upgraded its Scandinavian network to connect hyperscale datacentres and serve the region’s booming AI markets.
The network is intended to create an AI “superhighway” scaling its existing Tier 1 network between Oslo, Stockholm and Copenhagen to support wholesale and enterprise customers’ AI and cloud applications. It is based on 1.6Tbps waves and scalable 400G coherent pluggable optics on Ciena’s open 6500 Reconfigurable Line System (RLS).
With this network upgrade, the IP backbone and diverse connectivity services provider says enterprise customers will have enhanced access to a global internet backbone, as well as a portfolio of connectivity services, including scalable IP transit, wavelengths, dedicated internet access (DIA), cloud connect, global 40G Ethernet virtual circuit (VC) and distributed denial of service (DDoS) mitigation services.
Arelion operates multiple terrestrial routes across Scandinavia and provides diverse access via 13 subsea cables connecting the Nordics and Baltics. The company considers the region a strategic datacentre hub due to its higher availability of land, sustainable power and more stable energy pricing than other European regions.
For example, Arelion notes that Oslo’s datacentre industry has a total capacity of 423MW, with domain experts estimating the Nordics’ installed capacity will increase by 280-580MW annually. The company also cited analyst projections calculating that the region’s datacentre construction market will reach $7.38bn by 2030, rising at a compound annual growth rate (CAGR) of 23.47%. Arelion added that Scandinavia’s AI market is also expanding, with experts estimating a CAGR of 26.24% to reach a value of $19.9bn by 2031.
Arelion plans to construct the new superhighway by proactively upgrading its network to reach hyperscale datacentres and new AI-scale campuses, completing cable and duct construction to augment existing network ducts. The accelerated network investment is also intended to enhance diversity and bandwidth for current customers while allowing support for new customers “quickly and cost-effectively”.
The network upgrade is set to be complete by the end of the second quarter of 2025, with further investments in the Scandinavian network planned throughout the remainder of 2025 and into 2026.
Commenting on the new network and future expansion, Arelion product manager Johan Godal said: “As a global internet carrier headquartered in Sweden, we’ve invested in our Scandinavian infrastructure to meet our customers’ evolving connectivity demands since the beginning. This strategic upgrade is the first step in a series of ongoing investments, reflecting our long-held mission to maximise our network assets by enhancing capacity, scalability and diversity. This strategy allows our customers to accelerate their adoption of emerging applications by connecting to Scandinavia’s AI superhighway.”
Arelion has been an early adopter of open optical networking and claims to have established industry milestones through live network field trials, including a 1,069km IP transmission with Cisco 800G ZR+ coherent optics on its long-haul route between Stockholm and Hamburg. It also claims to have achieved the world’s first live 1.6Tbps wave data transmission with Ciena’s Wavelogic 6 Extreme in August 2024.
Outlining Ciena’s contribution to the new infrastructure, Ciena vice-president and leader of EMEA Virginie Hollebecque remarked: “Arelion reinforces its standing as a trailblazer with this substantial investment, allowing it to enhance network capacity and energy efficiency through the power of open optical networking and next-generation coherent optic solutions. This network upgrade through Ciena’s RLS solution will prove crucial for supporting Scandinavia’s AI boom, enabling continued innovation.”
