Locating European Data Centres
AA Euro Group understands the critical role data centres play in today’s digital landscape.
Selecting the right location for your next European data centre project is crucial, and factors like skilled workforce availability, sustainability practices, future growth potential, and funding supports all come into play.
Here we explore the best locations for European data centres projects:
Ireland
Ireland has emerged as a leading location for data centre development in Europe, attracting major tech companies like Google, Amazon, and Meta.
This surge in popularity can be attributed to several key factors:
Skilled Workforce
Ireland boasts a young, well-educated population with a strong focus on technology.
According to a 2023 report by Science Foundation Ireland, 26% of all graduates in Ireland hold degrees in Science, Technology, Engineering, and Mathematics (STEM) fields, providing a readily available talent pool for data centre construction and operations.
Sustainable Practices
Ireland is committed to a greener future. The government has set an ambitious goal of achieving 50% renewable energy by 2030.
Data centres in Ireland benefit from access to clean energy sources like wind and hydro power. Additionally, many data centre operators in Ireland are implementing innovative cooling solutions to minimise their environmental footprint.
Future Potential
Ireland boasts excellent internet connectivity, ranking 4th globally in the 2023 Speedtest Global Index by Ookla .
Furthermore, the Irish government actively supports data centre development through attractive tax breaks and incentives. The “Capital Allowances for Data Centres” scheme, for example, allows companies to claim accelerated tax relief on capital expenditure for data centre construction.
Funding Support
Beyond tax breaks, Ireland offers a range of financial incentives for data centre development. The “Employment and Investment Incentive Scheme” (EIIS) provides tax relief for investors in qualifying companies, including those involved in data centre construction.
Additionally, Ireland’s robust investment landscape makes it easier for data centre projects to secure funding.
Denmark
Denmark has established itself as a frontrunner in the European data centre market, attracting major players like Microsoft and Apple.
Several factors contribute to Denmark’s attractiveness:
Skilled Workforce
Denmark boasts a highly skilled workforce with a strong emphasis on technology and engineering.
A 2024 report by the Confederation of Danish Enterprise indicates that over 70% of Danish companies struggle to find qualified ICT professionals.
AA Euro Group’s extensive network in Denmark can connect you with this in-demand talent pool, ensuring your data centre has the skilled personnel it needs to operate efficiently.
Sustainable Practices
Denmark is a leader in renewable energy adoption, with a goal of achieving 100% renewable energy consumption by 2025.
Data centres in Denmark benefit from access to clean energy sources like wind and solar power.
Additionally, Denmark has a robust district heating infrastructure, which allows data centres to utilise excess heat for efficient cooling, further minimising their environmental footprint.
Future Potential
Denmark offers excellent internet connectivity, ranking 3rd globally in the 2023 Speedtest Global Index by Ookla.
The government also actively supports data centre development. While direct financial incentives may be limited, Denmark’s focus on innovation fosters a supportive environment for data centre growth.
Funding Support
Denmark’s strong investment climate makes it easier for data centre projects to secure funding.
Additionally, the government offers various grants and subsidies for research and development in clean technologies, which can benefit data centres exploring innovative sustainable solutions.
Germany
Germany is a titan in the European data centre industry, boasting a robust ecosystem and attracting major tech companies like IBM and Deutsche Telekom.
Here’s what makes Germany a prime location for your next data centre project:
Skilled Workforce
Germany possesses a highly skilled workforce, with a strong focus on engineering and technology.
According to a 2023 study by the Fraunhofer Institute for Labor and Society, over 2 million people in Germany are employed in information and communication technology sectors.
AA Euro Group’s established presence in Germany allows us to tap into this vast talent pool and connect you with the skilled professionals needed for data centre construction, maintenance, and operation.
Sustainable Practices
Germany is committed to a greener future, with ambitious goals for renewable energy adoption – The government aims to achieve 80% renewable energy by 2030.
Data centres in Germany benefit from access to clean energy sources like wind and solar power.
Additionally, German data centres often implement innovative cooling solutions to minimise their environmental footprint.
Future Potential
Germany boasts excellent internet connectivity, ranking 6th globally in the 2023 Speedtest Global Index by Ookla.
Furthermore, Germany is strategically positioned in the heart of Europe, offering excellent connectivity to major markets.
The government also recognises the importance of data centres and fosters an environment for growth, with initiatives like the “Digital Infrastructure Package” aimed at expanding high-speed internet access across the country.
Funding Support
While direct government grants for data centres may be limited, Germany’s robust economy and strong investment climate make it easier for data centre projects to secure funding.
Additionally, various tax benefits exist for companies investing in energy-efficient technologies, which can be advantageous for sustainable data centre development.
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Sweden
Sweden has emerged as a leader in sustainable data centre development, attracting major players like Spotify and Ericsson.
Here’s what makes Sweden an attractive location:
Skilled Workforce
Sweden boasts a highly educated population with a strong emphasis on technology and innovation. According to a 2024 report by Teknikf?retagen (The Swedish Industry Association), over 30% of Swedish university graduates hold degrees in STEM fields.
AA Euro Group’s network in Sweden can connect you with this skilled workforce, ensuring your data centre has the talent needed for efficient operation.
Sustainable Practices
Sweden is a champion of sustainability. The country aims to achieve 100% renewable energy by 2040. Data centres in Sweden benefit from access to clean energy sources like hydro and wind power.
Additionally, Sweden’s cold climate allows for natural cooling techniques, further minimising the environmental footprint of data centres.
Future Potential
Sweden offers excellent internet connectivity, ranking 2nd globally in the 2023 Speedtest Global Index by Ookla.
The government actively supports data centre development through initiatives like “The Data Centre Strategy,” which focuses on attracting data centres while ensuring sustainable practices.
Funding Support
Beyond government support, Sweden offers various funding opportunities for data centre projects.
Initiatives like “Drive Sweden” provide grants and loans for businesses investing in sustainable technologies, which can benefit data centres exploring innovative green solutions.
Additionally, Sweden’s strong investment climate makes it easier to secure private funding.
United Kingdom
The United Kingdom (UK) is a major player in the global data centre market, attracting tech giants like Google and Amazon Web Services.
Several factors contribute to the UK’s attractiveness:
Skilled Workforce
The UK boasts a large and well-educated workforce, with a significant talent pool in technology and engineering. A 2024 report by the Tech Nation Report indicates that over 2 million people in the UK are employed in tech-related sectors.
However, competition for skilled data centre professionals can be high. AA Euro Group’s extensive network in the UK can help you navigate this competitive landscape and secure the right talent for your data centre project.
Sustainable Practices
The UK is committed to a greener future, with a target of achieving net zero emissions by 2050.
The government actively supports sustainable data centre development through initiatives like the “Data Centres and Cloud Strategy,” which encourages energy-efficient data centre construction and operations.
Additionally, many data centres in the UK are embracing innovative cooling solutions to minimise their environmental footprint.
Future Potential
The UK boasts excellent internet connectivity, ranking 7th globally in the 2023 Speedtest Global Index by Ookla.
Furthermore, the UK’s strategic location and strong international connections make it a prime location for data centres serving global markets.
The government also recognises the importance of data centres and offers various incentives, such as tax breaks for investments in low-carbon technologies.
Funding Support
The UK offers a range of financial incentives for data centre development. The “Enhanced Capital Allowances” scheme allows companies to claim accelerated tax relief on capital expenditure for energy-saving technologies used in data centres.
Additionally, the UK’s strong financial sector and established venture capital ecosystem make it easier for data centre projects to secure funding.
Belgium & Netherlands
The Belgium & Netherlands region is rapidly evolving into a data centre powerhouse.
This region offers a unique combination of factors that make it an attractive location for your next data centre project:
Skilled Workforce
Both boast well-educated populations with strong competencies in technology and engineering.
AA Euro Group’s established presence across the region allows us to connect you with the skilled professionals needed for data centre construction, maintenance, and operation.
Sustainable Practices
Future Potential
The entire region boasts excellent internet connectivity, consistently ranking high in global speed tests.
Additionally, both countries actively support data centre development:
Funding Support
Beyond government support, the Belgium and Netherlands region offers a robust investment climate, making it easier for data centre projects to secure funding.
Additionally, various grants and loans are available for companies focusing on sustainable technologies, which can benefit data centres exploring green solutions.
As you’ve seen, each of the countries explored throughout this article offers a unique set of advantages for European data centre development.
No matter which country you choose, AA Euro Group is your trusted partner for all your data centre construction and staffing needs.
We have a proven track record and a deep understanding of each market, allowing us to navigate the complexities of data centre development and ensure a successful project.
Contact AA Euro Group today to discuss your specific requirements and let our experts guide you towards the perfect location for your next data centre project in Europe.
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