The operator is scaling its existing Tier-1 network between Oslo, Stockholm and Copenhagen with Ciena
Wholesale network operator Arelion, formerly Telia Carrier, announced “major investments” in its Scandinavian network to connect data centres and serve the region’s booming AI markets. Using 1.6 Tbps wavelengths and scalable 400G coherent pluggable optics on Ciena’s open 6500 Reconfigurable Line System, Arelion said it is scaling its existing Tier-1 network between Oslo, Stockholm and Copenhagen – although the carrier did not reveal how much it was investing.
Over the past couple of years, the operator has been busy converging its IP and optical layers with Ciena and Cisco. Today it operates multiple terrestrial routes across Scandinavia and provides diverse access via 13 subsea cables connecting the Nordics and Baltics. Through this latest investment, Arelion said it is “proactively upgrading its network” to reach hyperscale data centres and new AI scale campuses by completing cable and duct construction augmenting existing network ducts.
Early mover
Arelion was an early adopter of open optical networking and has 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, Sweden, and Hamburg, Germany. The global Internet carrier also achieved what it claims was the world’s first live 1.6 Tbps Wave data transmission with Ciena’s Wavelogic 6 Extreme in August 2024.
“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,” said Ciena vice president and leader of EMEA Virginie Hollebecque. “This network upgrade through Ciena’s RLS solution will prove crucial for supporting Scandinavia’s AI boom, enabling continued innovation through Arelion’s forward-thinking vision.”
Over the past 12 months, Arelion has been investing globally, including what it claimed was the world’s first live 1.6 Tbps wavelength transmission using Ciena’s WaveLogic 6 Extreme in North America and an earlier field trial with Cisco’s 800G ZR+ optics between Stockholm and Hamburg. It also expanded its backbone with a new Norway–Europe fibre route, launched a second PoP in Tokyo and a new PoP in Marseille, and upgraded its Kansas City facility to support multi-terabit capacity. In the US, it has deployed new regional routes including Jacksonville–Atlanta and Denver–Bay Area via Salt Lake City and Reno.
Scandi push
Scandinavia is a strategic data centre hub due to its higher availability of land, sustainable power and more stable energy pricing than other European regions. Oslo’s data centre industry has a total capacity of 423MW, with consultants estimating the Nordics’ installed capacity will increase by 280-580MW annually. Analysts project the region’s data centre construction market will reach USD 7.38 billion by 2030, rising at a compound annual growth rate (CAGR) of 23.5 percent.
Scandinavia’s AI market is also expanding, with experts estimating a CAGR of 26.2 percent to reach USD 19.90 billion by 2031. Arelion will complete its network upgrade by late Q2, with further investments in its Scandinavian network planned throughout the remainder of 2025 and into 2026.
“We’ve invested in our Scandinavian infrastructure to meet our customers’ evolving connectivity demands since the beginning,” said Arelion product manager Johan Godal. “This strategic upgrade is the first step in a series of ongoing investments, reflecting our long-held mission to maximise its network assets by enhancing capacity, scalability and diversity.”
Arelion said it now provides customers with access to its backbone, as well as its portfolio of reliable, fully diverse connectivity services, including scalable IP Transit, Wavelengths, Dedicated Internet Access (DIA), Cloud Connect, Global 40G Ethernet Virtual Circuit (VC) and DDoS Mitigation services for service providers, content providers and enterprises.
