TikTok’s Parent Company Plans Huge Data Center in Brazil Using Wind Energy

A picture of the TikTok logo was taken on August 22, 2022, as part of an illustration. The image was shared by Reuters, and the credit goes to Dado Ruvic.

By Leticia Fucuchima, Marcela Ayres, and Bernardo Caram

Sao Paulo/Brasilia (Reuters) – ByteDance, the Chinese company that owns TikTok, is thinking about building a big data center in Brazil. Three people who know about the plans told Reuters that the company wants to use wind energy from Brazil’s northeast coast to power the facility.

The company is talking with Casa dos Ventos, a renewable energy company, to work together on this project. The data center could be built at the Pecem port in the state of Ceara. The people who shared this information did not want their names to be mentioned because the discussions are private.

Brazil is trying to become a major location for data centers around the world. The country has a lot of renewable energy, which makes it a good place for these kinds of projects.

One person said that the first phase of the project could be a 300-megawatt data center. Later, it might grow to 900 megawatts. Another person said the total power needed for the project could be as much as 1 gigawatt.

If this happens, Brazil will become a key place for ByteDance’s operations in the Western Hemisphere. Earlier this year, the company said it would spend $8.8 billion on data centers in Thailand over the next five years.

TikTok did not want to talk about its plans in Brazil when asked for a comment.

Pecem is a good spot for data centers because it has submarine internet cables nearby and a lot of renewable energy sources. Casa dos Ventos, which works with TotalEnergies on wind power projects, has already asked for permission to connect a data center to Brazil’s power grid.

At first, Brazil’s national grid operator, ONS, said no because they were worried about the stability of the power supply. Data centers use a huge amount of electricity, and the grid needs to be strong enough to handle it.

Now, Brazil’s Mines and Energy Ministry is looking into whether they can allow more power for data centers in Pecem and other areas. Two people familiar with the matter shared this information.

TikTok and the ministry did not reply right away when asked for comments. Reuters could not reach ByteDance for a statement.

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Casa dos Ventos did not talk about the discussions with ByteDance but said in a statement that they want to make Pecem a center for technology and clean energy.

This move could help Brazil become a bigger player in the tech world. With more companies looking for green energy solutions, Brazil’s wind and solar power could attract more investments like this one.

For ByteDance, having a data center in Brazil would mean faster and more reliable service for TikTok users in Latin America. It would also help the company store and manage data closer to where its users are, which can improve performance.

The project is still in the early stages, and many details need to be worked out. But if everything goes well, it could bring jobs and new technology to the region.

Brazil has been working hard to grow its tech industry, and this could be a big step forward. The country already has a lot of wind and solar farms, making it a great place for companies that want to use clean energy.

Data centers are important because they store all the information we use online, from social media posts to videos and emails. Companies like Google, Amazon, and Microsoft also have data centers around the world to keep their services running smoothly.

If ByteDance builds this data center, it will be one of the biggest in Brazil. It could also encourage other tech companies to invest in the country.

The talks between ByteDance and Casa dos Ventos show how businesses are looking for ways to use renewable energy. Wind power is clean and doesn’t produce pollution, which makes it a good choice for big projects like this.

Brazil’s government is also supporting these kinds of projects because they help the economy and the environment. The country has a lot of potential for wind energy, especially in the northeast where the winds are strong.

This could be a win-win situation for everyone involved. ByteDance gets a reliable and green energy source for its data center, Brazil gets more investment in its tech industry, and the environment benefits from cleaner energy.

The next steps will be watching how the discussions progress and whether the government approves the needed power connections. If everything goes as planned, Brazil could soon have a major new data center powered by the wind.

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