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Google has been ordered to suspend work on two data centers under development in Finland, creating an immediate obstacle for the technology giant just one month after it committed to a $15 billion investment in the country’s AI infrastructure.

The Finnish Licensing and Supervision Agency, known as LVV, issued the notice Tuesday to Tuike Finland Oy, a Google subsidiary. The agency directed the company to stop building work at planned data center projects in Muhos and Kajaani until environmental impact assessments are finished.

The suspension covers a broad range of construction and land preparation activities. According to a Google translation of the LVV press release, the request applies to tree removal, topsoil removal, excavation, quarrying, crushing, moving soil masses, ditching, and building roads and storage areas.

The order presents a notable setback for Google’s expansion plans in Finland. The company has acknowledged the agency’s concerns and said it intends to comply with the official guidance.

“We understand the concerns and have fallen short of our own high standards in this instance,” a Google spokesperson told CNBC.

Google maintained that it had acted under Finland’s Forestry Act while taking steps to survey nature and protect valuable areas. The company also pointed to environmental work it plans to continue in the region.

“We acted in good faith under the Forestry Act, and ran nature surveys and put in place measures to protect high-value areas,” the spokesperson said. “As we continue our long-term work in the region, we are advancing our landscaping and biodiversity plans, which include tree planting across 130 hectares at Muhos.”

The LVV ordered Google to halt the covered work no later than Oct. 23. However, the agency’s request does not prevent planning, measurements, soil surveys, or other activities with minor effects that can be restored easily.

The regulator said the suspended activities could alter the environment and create effects that must be identified and evaluated through the environmental impact assessment process. That concern sits at the center of the agency’s intervention.

“In our opinion, the measures in question will change the environment and cause impacts, the identification and assessment of which are among the key objectives of the EIA procedure,” Tommi Muilu, head of the environmental department at the Finnish licensing and supervision authority, said in the statement.

The order arrives as Finland becomes an important destination for data center investment during the AI boom. Hyperscalers and developers have been examining the country’s available land and power as those resources remain in short supply across much of Europe.

Several projects with potential capacities reaching hundreds of megawatts have recently been announced in Finland. Rising demand has helped the country earn the nickname the “Texas of Europe,” a reference to the major concentration of AI data center development in the U.S. state.

Texas has become one of the world’s leading locations for AI data centers, with large projects announced by hyperscalers and AI laboratories. The companies named in connection with those projects include Google, Meta, Microsoft, and Anthropic.

Google’s planned $15 billion commitment to Finland would represent the company’s largest investment in Europe. The company previously said the capital would be deployed through 2028 across data centers and supporting investments, including energy projects.

The regulatory suspension does not erase that broader commitment, but it places firm limits on what Google can currently do at the Muhos and Kajaani sites. Construction activities covered by the notice must remain suspended while the required environmental impact assessments are completed.

For Finland, the episode captures the tension surrounding rapid data center expansion. The country has land and power that developers want, yet major projects remain subject to environmental review and official supervision before extensive changes to the landscape may proceed.

Google has said it will follow the LVV’s guidance while continuing its work in the region. Its stated landscaping and biodiversity plans include planting trees across 130 hectares at Muhos, even as the immediate construction timetable faces regulatory constraints.

DISCLAIMER: GoldInvestors.news is not a registered investment, legal or tax advisor or broker/dealer. All investment/financial opinions expressed by GoldInvestors.news are from the personal research and experience of the owner of the site and are intended as educational material. Although best efforts are made to ensure that all information is accurate and up to date, occasionally unintended errors and misprints may occur.