All very good questions, let me provide some answers.
Following the target IC topology and the fact that there are still some data centers in Switzerland that have unused nodes, it would probably be a combination of already available nodes in Swiss data centers as well as a selection of new nodes. Each NP should only have one nodes to have strong decentralization along the NP dimension. Also, each DC should have one node only, same argument.
Yes, the compensation is envisioned to be exactly the same in the current thinking. The rent would be converted to cycles and burnt and ICP would be minted using the regular process to remunerate the NPs. This means that the subnet would have 100% utilization in terms of cycles burn rate.
One example could be an asset-backed coin that intends to be 100% Swiss, another example a dapp that must ensure compliance with Swiss banking regulations, i.e., no data may be stored outside of Switzerland. Indeed, a government use case would be really awesome. But the prospective tenant is a private entity for the “Swiss subnet”.
There is a prospective tenant available who has strong intentions to rent the subnet for a specific project, and potential follow-up projects with others. For example, the first data center intended to be used for this subnet is probably the most secure data center of Switzerland, housed deep inside a Swiss mountain, nuclear strike proof and virtually impenetrable (NNS proposal, forum post, forum post). As you can see, the intention here is to set this subnet up with elevated security.
There would be 13 node providers and data centers, only 1 node per node provider and data center.
@SvenF, @georgi, @emilio.canessa, or @michael-weigelt may have more to add.