Swedish Government subvention to Facebook increases sharply – giving more to those who haveTuesday, 15 November 2011
Facebook twisted the arm of the Swedish government and forced it to increase its subvention to the social media company from Skr 30 million to Skr100 million.
The Swedish government wanted to provide Skr30 million for the investment into Facebook's new data centre in Luleň, northern Sweden in the first instance. But when Facebook indicated that it was not happy by that, the Swedish government turned around to increase its subvention to Skr 100million, reports various Swedish media outlets including news paper company, Computer Sweden, which is reported to have put an ear into the whispering between the two authorities – the Swedish government and Facebook.
AdvertisementThe report follows that when construction of the next data center starts, Facebook will get another Skr25 million in subvention Computer Sweden said.
It was in October 27 that Swedish Enterprise minister, Annie L÷÷f during a press conference in Lulea said that the government had granted an investment of Skr100 million to Facebook in support of the project.
The establishment in Luleň, where Facebook is to base its data centers is to cost between three and five billion Swedish kronor, is the company's first such operation outside here in Europe. Facebook's representative at the press conference, Tom Furlong, however, said that the Swedish government's support was not the decisive factor for the decision.
The Government's contribution to Facebook was met with criticism from, among others, Green Party spokesperson, Gustav Fridolin.
“The most important investments are not to be supporting individual companies, but of basic infrastructure in order to communicate. Broadband across the country, railroads to ship goods from the production industry. Rehabilitation of residential areas so that, in Sweden large industries can gain the opportunity to grow and compete internationally, said Fridolin to Swedish daily Dagens Nyheter.
The signs that the Swedish government is willing to bend backwards for any big company is clearly visible here. Companies such as Facebook which have the money and are already having the means to invest in Sweden, the government will throw more money at them.
Smaller companies such Granscole Establishment, which owns this network, will never smell a dime from the government, not to talk of a Swedish bank. - On to those who have more shall be given and on to those who have not…!
By Scancomark.se Team
What do you think about the above article? Please leave us a comment and reaction. Thank you.