As of March 2025, 529 data centers were listed as being located in Germany, the most of any European nation. Data centers are facilities housing critical IT infrastructure designed to store, process, and manage vast volumes of data. The United States is home to the largest share of data centers worldwide, with over 5,000 facilities.

European Data Center Power Market is Segmented by Type (Solutions (Power Distribution Unit, UPS, Busway, Other Solutions), Services (Consulting, System Integration, Professional Service)), End-User Application (Information Technology, Manufacturing, BFSI, Government, Telecom), Country (United Kingdom, Germany, Italy, Rest of Europe). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

London remained Europe's largest data center market in 2024, with total inventory in the British capital surpassing 1,000 megawatts as of the fourth quarter of the year. Frankfurt was the second-largest market, followed by Amsterdam.

The Europe data center market by investment was valued at USD 42.98 billion in 2023 and is expected to reach USD 64.50 billion by 2029, growing at a CAGR of 7%.

The Europe Data Center Server Market is Segmented by Form Factor (Blade Sever, Rack Server, and Tower Server), by End User (IT & Telecommunication, BFSI, Government, Media and Entertainment, and Other End Users), and by Geography (France, United Kingdom, Sweden, Austria, Belgium, Germany, Ireland, Italy, Norway, Poland, Spain, Switzerland, Netherlands, Denmark, and Rest of Europe). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

Dublin had a reported 270 megawatts (MW) of data center capacity under construction as of the first half of 2023, the most of any European market. Meanwhile, Frankfurt had the most capacity planned for future construction, ahead of London, which remains the largest data center market in the region. The FLAPD markets dominate the European data center industry The data center markets of Frankfurt, London, Amsterdam, Paris, and Dublin, collectively referred to as ‘FLAPD’, are the key hubs powering the 78 billion euro European market. London is the largest of these markets, with its total inventory of almost 1,000MW placing it second only to Northern Virginia in global rankings. While land and energy availability in the London area pose challenges, many investors are willing to pay the price for proximity to a global commercial hub. Sustainability tops the agenda Efficiency and sustainability have become key concerns in the European market, with expanding data center facilities proving a significant drain on local infrastructure. The European Union has looked to take a leading role in this regard, seeking to grow the region’s green data center market. In addition, EU legislation adopted in 2024 requires the publication of key performance metrics in order for operators to be rated against sustainability criteria.

The Europe Data Center Cooling Market Report is Segmented by Cooling Technology (Air-Based Cooling (CRAH, Chiller and Economizer, Cooling Tower (Direct, Indirect, and Two-Stage Cooling), and Others)) and Liquid-Based Cooling (Immersion Cooling, Direct-To-Chip Cooling, and Rear-Door Heat Exchanger)), End-User Vertical (IT & Telecom, Retail & Consumer Goods, Healthcare, Media & Entertainment, Federal & Institutional Agencies, and Other End Users), and Geography (the United Kingdom, Germany, Russia, Denmark, Norway, The Netherlands, Spain, Poland, Switzerland, Austria, Belgium, France, Italy, Ireland, Sweden, and the Rest of Europe). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

In 2023, London was Europe's largest data center market, with live power supply capacity of 1.2 gigawatts, 326 megawatts under construction and 2.4 gigawatts in committed or early stage IT power. Committed developments refer to developments that have already been purchased by the end customer. In terms of committed capacity, Frankfurt came second in ranking, with an aggregate data center power supply measuring approximately 2.7 megawatts.

As of March 2025, there were a reported 5,426 data centers in the United States, the most of any country worldwide. A further 529 were located in Germany, while 523 were located in the United Kingdom. What is a data center? A data center is a network of computing and storage resources that enables the delivery of shared software applications and data. These facilities can house large amounts of critical and important data, and therefore are vital to the daily functions of companies and consumers alike. As a result, whether it is a cloud, colocation, or managed service, data center real estate will have increasing importance worldwide. Hyperscale data centers In the past, data centers were highly controlled physical infrastructures, but the cloud has since changed that model. A cloud data service is a remote version of a data center – located somewhere away from a company's physical premises. Cloud IT infrastructure spending has grown and is forecast to rise further in the coming years. The evolution of technology, along with the rapid growth in demand for data across the globe, is largely driven by the leading hyperscale data center providers.

Europe Data Centers Interconnect Companies and the market is segmented by country (Germany, UK, France and Rest of Europe)

The Europe Data Center Physical Security Market Report is Segmented by Solution Type (Video Surveillance and Access Control Solutions), Service Type (Consulting Services and Professional Services), End User (IT and Telecommunication, BFSI, Government, Healthcare, and Other End Users), and Country. The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

The Europe Data Center Storage Market Report is Segmented by Storage Technology (Network Attached Storage (NAS), Storage Area Network (SAN), and Direct Attached Storage (DAS)), Storage Type (Traditional Storage, All-Flash Storage, and Hybrid Storage), End User (IT & Telecommunication, BFSI, Government, Media & Entertainment, and Other End Users), and Country. The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

The average data center rental cost in Europe in the second half of 2023 declined slightly, after soaring in the same period a year ago. A 10 kW lease cost approximately 450.6 U.S. dollars per kW, up from 307.5 U.S. dollars per kW at the beginning of 2022.

The Europe Data Center Rack Market is Segmented by Rack Size (Quarter Rack, Half Rack, and Full Rack), End-User Industry (BFSI, IT, Telecom, Government, Media, and Entertainment), and Country. The Market Sizes and Forecasts are Provided in Terms of Volume (units) for all the Above Segments.

The data center power management industry in Western Europe is set to exhibit a CAGR of 6.1% through 2034. The demand for data center power management in Western Europe is poised to witness significant opportunities with US$ 4,669.5 million in 2024. Profitability is not a priority in Western Europe, but industrial penetration is.

Attributes	Details
Industry Size of Data Center Power Management in Western Europe (2024)	US$ 4,669.5 million
Forecasted Industry Size of Data Center Power Management in Western Europe (2034)	US$ 8,425.3 million
CAGR Estimation (2024 to 2034)	6.1%

Country-wise Insights

Countries	Value CAGR from 2024 to 2034
United Kingdom	9.0%
Germany	7.8%

Category-wise insights

Category	Industrial Share in 2024
Modular Data Centers	25.7%
Tier-4 Data Centers	35.9%

Report Scope

Attribute	Details
Estimated Industry Size in 2024	US$ 4,669.5 million
Projected Industry Size by 2034	US$ 8,425.3 million
Anticipated CAGR between 2024 to 2034	6.1% CAGR
Demand Forecast for the Data Center Power Management in Western Europe	2024 to 2034
Report Coverage	Industry Size, Industry Trends, Analysis of key factors influencing the Data Center Power Management in Western Europe, Insights on Global Players and their Industry Strategy in Western Europe, Ecosystem Analysis of Local and Regional Western Europe Providers
Key Countries Analyzed	United Kingdom Germany France The Netherlands Italy Spain Rest of Western Europe
Key Companies Profiled	Schneider Electric SE Eaton Corporation ABB Group Vertiv Group Corp Raritan Inc. (Legrand) Siemens AG Riello Elettronica Group Server Technology (Legrand) Piller Power Systems Cyber Power Systems Inc.

The Europe floating data center market is expected to reach $14.73 million by 2033 from $4.33 million in 2023, exhibiting a robust CAGR of 13.03% during the 2023-2033.

Over the last two observations, the revenue is forecast to significantly increase in all segments. As part of the positive trend, the indicator reaches the maximum value for all three different segments at the end of the comparison period. Particularly noteworthy is the segment Network Infrastructure, which has the highest value of 71.52 billion euro. Find further statistics on other topics such as a comparison of the revenue in Australia and a comparison of the revenue in Japan. The Statista Market Insights cover a broad range of additional markets.

The prospects of investment and development in the data center real estate market in Europe generally improved between 2018 and 2025. The outlook for both investment (4.66) and development (4.6) looked favorable according to industry experts. Moreover, data centers were one of the sectors with best prospects in the real estate market for 2025.

Europe Data Center Construction Market Size By Infrastructure Type (Electrical Construction, General Construction), By Distribution Channel (Brownfield, Greenfield), By Application (IT and Telecommunication, BFSI), By Geographic Scope And Forecast

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Data Center Server Market Size 2024-2028

The data center server market size is forecast to increase by USD 169.3 billion at a CAGR of 18.52% between 2023 and 2028.

The market for data center is experiencing significant growth due to increasing investments in scaling up in-house data centers to support digital transformation initiatives. One trend driving market growth is the adoption of server disaggregation, which allows organizations to separate the server hardware from the software, thereby improving server utilization rates. The hybrid cloud architecture, which combines both private and public cloud environments, offers a practical solution to address concerns related to potential downtimes, data loss, security risks, and legal issues associated with full-scale public cloud adoption. Another trend is server workload optimization, which enables businesses to allocate resources efficiently and effectively to meet the demands of various applications. These trends are contributing to the market's growth and are expected to continue shaping the data center server landscape in the coming years. Organizations in North America are increasingly focusing on these trends to optimize their IT infrastructure and improve operational efficiency.

What will be the Size of the Data Center Server Market During the Forecast Period?

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The market data center is experiencing significant growth and transformation, driven by technology advancements and the increasing adoption of cloud computing and digital services. Businesses are seeking scalable solutions to meet their expanding data storage needs and improve operational efficiency. This trend is evident In the rise of green data centers, which prioritize energy-efficient solutions and sustainability initiatives, such as solar, wind, and hydroelectric power. The proliferation of 5G networks and edge computing is also fueling demand for smaller, more distributed data centers, including micro and portable options. These innovations enable faster data processing and reduced latency, particularly in industries like healthcare, finance, and manufacturing.
Key technologies shaping the market include CPUs, servers, storage devices, GPUs, memory drives, virtual machines, and various server types, such as rack, blade, micro, and tower servers. However, the market is not without challenges, as hardware failure and cybersecurity risks continue to pose significant threats. Moreover, the integration of artificial intelligence, machine learning, big data analytics, and hyperscale data centers is transforming the landscape, creating new opportunities and complexities. As the market evolves, companies will need to navigate these trends while ensuring they remain competitive and responsive to their customers' evolving needs.

How is the Data Center Server Industry segmented and which is the largest segment?

The industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Application

  Commercial server
  Industrial server


Type

  Rack server
  Blade server
  Tower server
  Microserver
  Open compute project (OCP) server


Geography

  North America

    US


  APAC

    China
    Japan


  Europe

    UK


  South America



  Middle East and Africa

By Application Insights

The commercial server segment is estimated to grow significantly during the forecast period. The market encompasses servers, switches, firewalls, storage systems, and routers, delivering processing power, memory, local storage, and application network connectivity. Infrastructure evolution involves transitioning from on-premises physical servers to virtual networks, enabling multi-cloud environments. Communication and colocation service providers are expanding their data centers, with key companies like Dell, Cisco, and Fujitsu investing in new facilities to accommodate growing demand. For instance, Cisco's October 2022 investment in data center capacity for its WebEx services in India underscores this trend. Technological advancements, such as cloud computing adoption, digital services, data storage needs, business scalability, green data centers, energy-efficient solutions, 5G networks, edge computing, micro data centers, portable data centers, modular data centers, power usage efficiency, and virtual machines, are shaping the market.

Additionally, environmental focus, sustainability initiatives, artificial intelligence, machine learning, big data analytics, blade servers, liquid-cooled rack servers, mega data centers, and hardware failure and cybersecurity risks are critical considerations. Key players are also focusing on power usage efficiency, with innovations in CPU, servers, storage devices, GPUs, memory drives, and vir