ISNIC provides colocation services and the hardware for a K-Root instance with the Reykjavik Internet Exchange (RIX). The hardware has now been upgraded. The K-Root server is operated by RIPE, and is one of 13 root nameservers which provide the basis for DNS lookup for the whole Internet.
By having a mirror instance in various location, the path to the root nameserver is kept as short as possible, and reliability and latency is the primary reason.