Europe Green Data Center Market Size, Share & Trends Analysis Report By Component (Solutions and Services, By User, By Data Center Size, By Vertical, By Country and Growth Forecast, 2024 - 2031

Europe Green Data Center Market Size, Share & Trends Analysis Report By Component (Solutions and Services, By User, By Data Center Size, By Vertical, By Country and Growth Forecast, 2024 - 2031

The Europe Green Data Center Market would witness market growth of 18.8% CAGR during the forecast period (2024-2031).

The Germany market dominated the Europe Green Data Center Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $16,705.8 million by 2031. The UK market is exhibiting a CAGR of 18% during (2024 - 2031). Additionally, The France market would experience a CAGR of 19.7% during (2024 - 2031).

With the growing demand for real-time processing and low-latency applications, edge computing is becoming increasingly important. Green data centers are critical in supporting edge computing by offering decentralized infrastructure that can process data closer to the source. These centers, often located in remote areas or on-premises, help reduce energy consumption by minimizing data travel distance and leveraging local renewable energy sources.

As telecommunications networks expand and evolve, particularly with the roll-out of 5G, green data centers are being used to manage the infrastructure that supports communication services. These centers provide the necessary support for data transmission, network management, and service delivery while ensuring that power usage remains optimized and minimal.

The EU has proactively encouraged the transition to green data centers with regulatory frameworks and incentives to reduce carbon emissions in the tech sector. For instance, the European Green Deal and the Digital Decade policy set clear targets for sustainability and digital transformation. These frameworks have prompted organizations to adopt green technologies, such as renewable energy-powered data centers, waste heat recovery systems, and advanced cooling technologies that minimize environmental impact.

Germany, France, the Netherlands, and Ireland—key players in Europe’s data center industry—will likely lead the transition toward green data centers. These countries are already making strides in promoting renewable energy, with Germany’s commitment to transitioning to renewable energy sources (Energiewende) and France’s nuclear energy infrastructure offering greener data center operations opportunities. The Netherlands and Ireland have also actively engaged in sustainable practices, including developing energy-efficient infrastructure. Therefore, the rising energy consumption in Europe’s data center industry, particularly in major countries, accelerates the shift towards green data centers.

Based on Component, the market is segmented into Solutions (Cooling/HVAC Systems, Power Systems, Monitoring & Management Systems, and Networking Systems) and Services (Professional Services and Managed Services). Based on User, the market is segmented into Enterprises, Large Data Centers Service Providers (CSPs), and Colocation Providers. Based on Data Center Size, the market is segmented into Large Data Centers and Small & Medium Data Centers. Based on Vertical, the market is segmented into IT & Telecom, Government & Defense, BFSI, Healthcare, Manufacturing, and Other Verticals. Based on countries, the market is segmented into Germany, UK, France, Russia, Spain, Italy, and Rest of Europe.

List of Key Companies Profiled

• Dell Technologies, Inc.
• Cisco Systems, Inc.
• ABB Group
• Schneider Electric SE
• Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
• Delta Electronics, Inc.
• Eaton Corporation plc
• Hewlett Packard Enterprise Company
• IBM Corporation
• NEC Corporation

Europe Green Data Center Market Report Segmentation

By Component

• Solutions
• Cooling/HVAC Systems
• Power Systems
• Monitoring & Management Systems
• Networking Systems
• Services
• Professional Services
• Managed Services

By User

• Enterprises
• Large Data Centers Service Providers (CSPs)
• Colocation Providers

By Data Center Size

• Large Data Centers
• Small & Medium Data Centers

By Vertical

• IT & Telecom
• Government & Defense
• BFSI
• Healthcare
• Manufacturing
• Other Verticals

By Country

• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe