Iran war increases interest in repurposing Swiss military bunkers into data centres

Energie Wasser Luzern has converted a disused civil defence shelter into a secure data centre. RTS

Iran targeted three data centres in the United Arab Emirates and Bahrain – a first in any conflict. In the digital age, such infrastructure has become a prime target. Former Swiss military bunkers are now attracting growing interest from those seeking to protect their own data or their clients' data.

During the Cold War, Switzerland had some 8,000 bunkers. The military has always kept the exact number a secret. After the fall of the Berlin Wall, the army abandoned many of these installations with their thick concrete walls. According to one estimate, around 1,000 were sold to the private sector, sometimes for a pittance. Their new owners converted them into cheese cellars, mushroom farms, museums and now data centres.

In the canton of Lucerne, the industrial services have converted a bomb shelter into a digital safe. The state-owned utilities company Energie Wasser Luzern has invested CHF30 million ($38.5 million) in the conversion of this 1968 underground complex, designed to accommodate 1,200 people and capable of withstanding an atomic attack.

Rising demand

Marco Reinhard, head of the centre, says interest has increased since the start of the war in the Middle East.

“We’ve noticed that in recent weeks there have been more enquiries from new customers than usual, sometimes even from abroad. This is probably linked to the current international situation. Sensitivity to the issue of physical data security is increasing,” he told Swiss public broadcaster RTS.

‘Without energy, it doesn’t work’

Some specialists question the relevance of converting underground shelters into secure data storage facilities.

“A data centre depends on external logistics: without energy, without a network, without cooling, it doesn’t work. In our view, the only advantage of a bunker is that you can cool your infrastructure without using air conditioning,” says Thomas Jacobsen, spokesman for data host Infomaniak.

For the Geneva-based company, which aims to become a leader in digital sovereignty in Europe, security is not limited to the thickness of walls.

“The real security against bombs or landslides is to spread data across multiple sites, operators and countries,” says Jacobsen.

Safes beneath the mountains

Still, the reputation of Swiss bunkers remains a strong selling point. Many companies want to develop secure vaults beneath the Swiss mountains.

According to an estimate by specialist broker Xavier Brun, around 40 privately owned bunkers could have significant commercial potential, whether for storing digital data or valuable assets such as artwork or gold.

Military reinvestment in bunkers

For its part, the Swiss army stopped putting its old fortifications up for sale in 2023. It is even considering bringing some of them back into service. The new threat of drones, which has been confirmed on the Ukrainian battlefield, has brought the interest in bunkers back into focus.

“Soldiers are under constant observation and shelling. To protect themselves, they disperse or regroup in protected structures,” explains Hans-Jakob Reichen, who heads Army Development. An analysis is underway to determine whether old military shelters should be bought out or new ones built.

For Reichen, the army has not been too hasty in reducing its bunker stock. “It’s always easier to judge when you have the luxury of looking back. The decisions taken [after the Cold War] were reasonable. […] The army constantly re-analyses the situation and sets new priorities. That’s what we’re doing today,” he says.

Translated from French using AI/amva/ts

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