Why people host in Iceland
Iceland is in the European Economic Area but not the EU, and it has no equivalent of the US DMCA takedown system. In 2010 its parliament adopted the Icelandic Modern Media Initiative, a resolution to strengthen source protection and freedom of expression, which is why the country is popular with publishers and journalists.
The practical side matters too: data centres run on geothermal and hydroelectric power, the cold climate keeps cooling costs low, and the FARICE-1 and DANICE submarine cables link the island to mainland Europe.