Credit: GRI ClubTrends and strategies shaping the European data centre space
GRI Club Report: Key stakeholders in European data centres and real estate assess sector trends and identify key opportunities
December 12, 2024Real Estate
Written by Helen Richards
Access the full Data Centres Investment Opportunities in Europe report here.
Earlier this year, the UK government classified data centres as Critical National Infrastructure (CNI), vital for supporting the rapid growth of AI, cloud computing, and digital transformation. As other governments follow suit, they will inevitably begin to balance the development of data centres with the development of other critical infrastructure and homes, reflecting the long-term importance of reliable digital infrastructure.
As the data centre market rapidly evolves, project sizes are also expanding significantly. In 2019, a 70 MW data centre was considered large, but now campuses requiring 100-200 MW are the norm, with gigawatt-scale projects emerging in the US.
As these projects grow in scale, developers and investors increasingly turn to joint ventures, partnerships, and diversified funding sources to manage risk. Lender engagement in the sector is also expanding, with a variety of international players including European, Asian, and Middle Eastern banks.
(Credit: GRI Club)
However, the increasing complexity of design and operation, coupled with the rapid pace of technological advancements in AI and cooling solutions, makes the sector unique in its challenges.
The Data Centres Investment Opportunities in Europe report, in partnership with Dentons, collates the exclusive insights exchanged between key stakeholders in the European data centres and real estate space during high-level roundtable discussions as they address strategies to overcome challenges including power constraints, sustainability regulations, obsolescence risk, talent shortages, and more.
Access the full Data Centres Investment Opportunities in Europe report here.
Earlier this year, the UK government classified data centres as Critical National Infrastructure (CNI), vital for supporting the rapid growth of AI, cloud computing, and digital transformation. As other governments follow suit, they will inevitably begin to balance the development of data centres with the development of other critical infrastructure and homes, reflecting the long-term importance of reliable digital infrastructure.
As the data centre market rapidly evolves, project sizes are also expanding significantly. In 2019, a 70 MW data centre was considered large, but now campuses requiring 100-200 MW are the norm, with gigawatt-scale projects emerging in the US.
As these projects grow in scale, developers and investors increasingly turn to joint ventures, partnerships, and diversified funding sources to manage risk. Lender engagement in the sector is also expanding, with a variety of international players including European, Asian, and Middle Eastern banks.
(Credit: GRI Club)However, the increasing complexity of design and operation, coupled with the rapid pace of technological advancements in AI and cooling solutions, makes the sector unique in its challenges.
The Data Centres Investment Opportunities in Europe report, in partnership with Dentons, collates the exclusive insights exchanged between key stakeholders in the European data centres and real estate space during high-level roundtable discussions as they address strategies to overcome challenges including power constraints, sustainability regulations, obsolescence risk, talent shortages, and more.
