This study explores the driving forces and motives behind contemporary Nordic security cooperation. It asks and investigates whether the security cooperation has a foundation based on a shared (peace) identity or is founded on rational and functionalistic calculations. Through applying a theoretical model based on the theory of Regional Security Complexes the study reveal how external and internal transformations affect the Nordic nations and forces them to respond. The study reveals how both these factors are important when explaining the responses of the Nordic states and the development of the Nordic security cooperation. While national strategies differ there is a need to look to the own region which has led the Nordic states to search for a security structure at home. The study concludes that all of the Nordic nations have had to respond to a changing external environment which has put pressure on their defense budgets which problematizes their national foreign policy and security strategies. A strong Nordic amity and tradition of cooperation has eased a stronger formal structure which increases cost-effectiveness and functionalism for the Nordic states security structures. This structure has replaced older identity based and influence searching structures. Conclusively, contemporary Nordic security cooperation can be said to increase the Nordic states‟ security while simultaneously letting them follow their national security strategies. Norden is thus regaining importance and Nordic security cooperation show that the region is both active and proactive in dealing with their regional issues.