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Iceland is a small but distinctive data center market. Almost all of its electricity comes from hydropower and geothermal energy, and a cool climate allows for efficient free cooling, which has made the country attractive for energy-intensive and high-performance computing workloads. Subsea cables connect it to Europe and North America, although the distance to the main European hubs limits its appeal for latency-sensitive services. No dedicated national data center incentive scheme has been identified in this tracker’s policy review.