EUDCA Report Reveals €100bn Investment Pipeline to 2030
The European Data Centre Association (EUDCA) has published a survey of the data centre industry, documenting market fundamentals and growth patterns across the continent's data centre landscape.
The report establishes baseline metrics for ongoing sector analysis while highlighting investment opportunities and operational challenges. In collaboration with the European National Trade Associations, the document provides reference points for industry decision-making as European digital infrastructure continues expanding.
- A total of €100bn is expected to be invested in the sector to 2030
- Colocation data centres will contribute €83.8 billion to GDP by 2030
- The total power growth demand will be on average around15% per year to 2030
“Europe's digital economies could not have been established without the backbone of data centres that provide digital sovereignty while contributing significantly to GDP,” says Michael Winterson, Secretary General of the EUDCA.
“The State of European Data Centres 2025 provides a benchmark of this vital industry and a reference point for informed, data-driven decision-making as we continue building Europe's digital future.”
Colocation data centres drive €83.8 billion GDP contribution
The report quantifies the sector’s economic impact through specific metrics and projections.
It suggests that colocation data centres were responsible for generating €30 billion (US$34.27bn) in GDP during 2023 – and forecasts now indicate growth will surge to €83.8 billion (US$95.72bn) by 2030.
Notably, AI deployment ultimately drove the data centre market to rapidly expand, as it continues to create demand that exceeds current supply capacity. Investment flows target major centres including Frankfurt, London, Amsterdam, Paris and Dublin (FLAP-D markets), with Nordic and Southern European locations showing increased activity levels.
Additionally, EUDCA finds that metropolitan hubs are developing around Barcelona, Rome and Athens as these countries become more engaged with digital transformation.
The total investment pipeline reaches €100 billion (US$114.23bn) through 2030, according to the report, with power demand growing at approximately 15% annually. These figures reflect the data centre industry’s response to the rising computational requirements from AI workloads and cloud service adoption.
Michael explains: “A key implication from the report is the need for data centres, as large energy consumers, to become flexible energy partners to grid providers.”
Accelerating renewable energy deployment and grid integration
Energy infrastructure development shows measurable progress across multiple dimensions. According to EUDCA, 28% of operators have invested in on-site renewable energy generation, while 41% plan similar investments.
Likewise, battery energy storage system installations are scheduled by 28% of operators within two years.
In addition, grid stabilisation services currently operate at 22% of data centre facilities, with expansion to 59% planned over the next two years. EUDCA says this integration could enable greater use of renewable energy sources and provide grid operators with demand response capabilities.
This could be very welcome, as grids are already under immense strain to deliver demand.
Also within the data centre, EUDCA is eager to highlight water usage efficiency (WUE) reporting demonstrates progress within the industry. Crucially, those operators reporting water usage effectiveness have achieved 0.31 litre per kWh during 2023, below the Climate Neutral Data Centre Pact target of 0.4 l/kWh for water-stressed regions.
Likewise, heat reuse capabilities exist at half of current facilities, with 38% additional deployment expected within two years. EUDCA reports that energy management systems are in operation at three-quarters of surveyed facilities to support operational efficiency improvements.
The report cites the adoption of liquid cooling technology is advancing alongside heat recovery systems, reducing environmental impact and improving data centre facility performance.
Such systems point to the sector starting to successfully transition toward greater energy efficiency and waste heat use.
Power supply access constraints emerge as main obstacle
Critically, survey respondents identify power supply access as the primary challenge for 75% of operators over the next three years. EUDCA says this constraint occurs despite operator willingness to invest in alternative power access solutions.
Energy costs are presenting additional concerns across the industry as wholesale price increases impact operational expenses. Likewise, the report notes that compliance requirements represent challenges for 36% of respondents, with new reporting obligations taking effect across European jurisdictions.
Power demand is expected to grow 15% on average annually through 2030 and requires infrastructure investment coordination between operators, grid providers and regulatory authorities, the report says.
An evolution toward grid partnership roles may address some constraints while supporting renewable energy integration, but skills gaps will need to be addressed as the industry continues to expand.
Michael says: “The EUDCA reaffirms its Manifesto commitment to achieving consistent and transparent reporting across European data centres by working with regulators and European policymakers to ensure that regulations are fair, efficient, and encourage positive behaviour.”
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