Dublin, July 13, 2026 (GLOBE NEWSWIRE) — The “Europe Data Center Market Landscape 2026-2031” has been added to ResearchAndMarkets.com’s offering.
The Europe data center market is on the brink of significant growth with investment projections to expand at a CAGR of 16.40% from 2025 to 2031. Several trends and driving forces are contributing to this boom, making Europe a focal point for data center development.
Key trends include increased digitalization, propelling the requirement for advanced data centers to manage vast digital data. The Swedish government’s Digitalization Strategy 2025-2030 underscores this growth. Additionally, the district heating concept leverages waste heat from data centers, aiding in energy efficiency. nLighten’s move in Stuttgart illustrates this progress.
The adoption of cloud computing technologies is surging, supported by stringent data regulations and the rollout of 5G services. OVHcloud’s new region in Berlin emphasizes the increasing demand for scalable infrastructure.
Market Insights and Innovations
- The adoption of liquid cooling solutions is a notable trend as traditional cooling methods fall short of managing the heat generated by AI workloads. By 2031, the share of liquid cooling solutions in investment is projected to achieve 36.52%.
- Sustainability is a central focus, with operators investing in lithium-ion and sodium-ion batteries over lead-acid alternatives. This shift is exemplified by nLighten’s MAN1-Chester data center in the UK.
- Enterprise entities across sectors, including technology, finance, and education, are stepping up investments to develop standalone facilities. Notably, UKIFS plans a $10.6 million data center investment in the UK by 2026.
- AI-optimized facilities, featuring advanced cooling and GPU integration, are gaining momentum, as seen by AIH’s $19.97 million investment in Scotland.
- Companies like Google are significantly enhancing hyperscale data center infrastructure, exemplified by a planned $6.38 billion investment to expand facilities in Germany.
Geographical Focus
- The UK leads in power capacity share within the European market, while Western Europe commands the largest investment share, attributing its position to robust digital hubs.
- The Nordic region, with its abundance of renewable resources, is emerging as a hotspot for data center development.
- Countries such as Sweden and Norway are attracting investments due to benefits like free cooling, essential for reducing operational costs and environmental impact.
Vendor and Infrastructure Landscape
- The market features prominent infrastructure providers such as Arista Networks, Cisco, and IBM, alongside support providers like ABB and Caterpillar.
- Significant investments continue from global giants, with new entrants consistently adding to the competitive landscape.
Overall, the European data center market is set to experience robust growth fueled by technological innovations, sustainability initiatives, and strategic investments. Market participants are poised to capitalize on emerging opportunities to advance infrastructure and drive digital transformation across the region.
Key Questions Answered
- What is the scale of the European data center market?
- How rapidly is the market growing?
- What is the forecast for market size in terms of area by 2030?
- What are the key trends shaping the market?
- What power capacity is expected to be achieved by 2030?
Key Attributes
| Report Attribute | Details |
| No. of Pages | 571 |
| Forecast Period | 2025-2031 |
| Estimated Market Value (USD) in 2025 | $59.84 Billion |
| Forecasted Market Value (USD) by 2031 | $148.82 Billion |
| Compound Annual Growth Rate | 16.4% |
| Regions Covered | Europe |
For more information about this report visit https://www.researchandmarkets.com/r/spdku5
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- European Data Center Market
