Europe Data Center Construction Market Size and Forecasts (2020 - 2030), Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Types of Construction (Electrical Construction, General Construction, and Mechanical Construction); Tier Standards (Tier 3, Tier 4, and Tier 1 & Tier 2); Industry Verticals (IT & Telecommunication, BFSI, Media and Entertainment, Retail, Manufacturing, Government, Transportation, and Others)
The Europe Data Center Construction Market size is expected to reach US$ 96.52 billion by 2030 from 54.81 billion in 2022, at an estimated CAGR of 7.3% from 2022 to 2030.
In terms of revenue, the UK dominated the Europe data center construction market share. The Europe data center construction market is experiencing growth due to factors such as the strength of the European economy, the rise in demand for cloud computing, and the increased reliance on digital technologies. The market encompasses various infrastructure types and offerings, including electrical infrastructure, mechanical infrastructure, general infrastructure, solutions, services, and professional services. Several companies are actively involved in the data center construction market in Europe. For instance, in October 2023, Data4, a data center operator based in France, enlisted the services of Hill International to oversee the development of a new campus in San Agustín de Guadalix, Spain. The project, known as MAD2, will span across a 6.5-hectare site and encompass four data centers with a combined capacity of 80 MW. Data4 has emphasized that these new facilities will leverage their efficient and adaptable model to accommodate the growth of their customers. Moreover, in October 2023, Telehouse, an internationally recognized provider of colocation services, declared the commencement of construction for a second data center at its TH3 Paris Magny location in France. The data center will offer a substantial IT floor space measuring 12,000 square meters, along with an electrical power capacity of 18 MW. The company's decision to expand its infrastructure in this manner aligns with its strategic objective of enhancing European and national digital independence by augmenting hosting and connectivity provisions at its existing European facilities, thereby attracting global internet traffic to the region. Such developments are expected to boost the overall data center construction market growth in Europe.
In the UK data center construction market, the data center construction process encompasses essential stages such as planning, designing, and actual construction. This market offers a diverse range of data centers, including small, medium, and large-scale facilities, ensuring they can meet various sizes and specific requirements. Moreover, the implementation of tier standards plays a vital role in guaranteeing the reliability and availability of data center services. Mercury Engineering has played a significant role in the development of data center facilities in the UK, including notable projects such as Equinix's LD10 Data Center in London. In October 2023, CGG announced the inauguration of its latest UK HPC (High-Performance Computing) Hub in Southeast England. With an initial capacity of 100 petaflops, this establishment contributes to CGG's global aggregate, which now stands at an industry-leading 500 petaflops. The UK HPC Hub capitalizes on CGG's extensive experience and advancements in efficient, industrial HPC design and operations tailored to the energy sector. This cutting-edge facility boasts a highly optimized environment, incorporating CGG's exclusive immersion cooling infrastructure. Furthermore, the Hub is powered entirely by renewable energy sources, underscoring the company's steadfast commitment to meeting the escalating demands of sophisticated scientific and AI applications sustainably. Such instances highlight the active involvement of industry players in expanding the country's data center infrastructure.
The emergence of edge computing and the rapid expansion of IoT services are facilitating the expansion of the Europe data center construction market share.The Europe data center construction market analysis has been carried out by considering the following segments: Types of Construction, Tier Standards, and Industry Verticals.Based on types of construction, the Europe data center construction market report is segmented into electrical construction, general construction, and mechanical construction. A data center involves several electrical devices, including utility feeds, switchgear, generators, UPS, and PDUs, that help transmit power from a utility feed to server racks. Electrical supplies reaching the data center infrastructure need to be converted to a usable voltage level, which is done by using a transformer. In addition, utility grids are the main source of power supply to the data centers. At the same time, switchgear helps safely supply power from the transformer or utility to the data center floor. Further, generators and uninterruptible power supply deliver longer-term and temporary backup power, respectively. Power distribution units help transfer electricity or power to racks and standalone systems.
Based on tier standards, the Europe data center construction market report is segmented into tier 3, tier 4, and tier 1 and tier 2. Tier 3 data centers utilized by large business enterprises offer features such as 99.982% uptime and N+1 fault tolerance, offering a minimum of 72 hours of power outage protection. Also known as concurrently maintainable data centers, these centers do not require any shutdown for equipment maintenance and replacement. This can be achieved by adding the redundant delivery path for cooling and power to the redundant component of tier 2 data centers. Tier 3 incorporates the features of both Tier 1 and Tier 2 data centers. It also requires power and cooling equipment during the maintenance process without affecting the IT processing of the organization. All the IT equipment in an organization must have dual power supplies that are directly connected to the UPS units that work offline without crashing servers. These data centers also consist of redundant cooling systems, which can be used whenever one cooling unit fails to cool the room. Demand for Tier 3 facilities is high primarily due to an increase in the demand for flexible data centers. Tier 3 data center allows flexibility to carry out the planned activity of power and cooling systems without disturbing hardware operating in data center space.
Rittal GmbH & Co KG, Schneider Electric SE, DPR Construction Inc, INFINITI IT Ltd, blu-3 (UK) Ltd, Datalec Power Installations Ltd, Coromatic AB Sweden, Winthrop Technologies Ltd, Mercury Engineering Ltd, and STO Building Group Inc are among the key players profiles in the Europe data center construction market report. The strategic presence of key players positions the UK as a key country for the Europe data center construction market growth. A number of new players are expected to emerge and bring new Europe data center construction market trends in the coming years.
The overall Europe Data Center Construction Market growth has been derived using both primary and secondary sources. Exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the Europe Data Center Construction Market size. The process also helps obtain an overview and forecast of the Europe Data Center Construction market with respect to all the market segments. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain analytical insights. This process includes industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the Europe Data Center Construction Market.
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