MARKET OVERVIEW

The Germany data center market size will witness investments of USD 7.58 billion by 2028, growing at a CAGR of 2.89% during the forecast period. In 2022, Germany was Western Europe's major data center investment contributor. Frankfurt is the most preferred location for developing data centers due to its proximity to end-users in the country. At the same time, other cities such as Munich, Hamburg, and Berlin have also witnessed significant investments in the Germany data center market.

Google, AWS, and Microsoft are some cloud service providers with a presence in the Germany data center market, along with other providers such as IBM, Alibaba, Deutsche Telekom, Oracle, Exoscale, and Profitbricks. Further, some government entities in Germany collaborate with cloud providers for cloud hosting and software management services. For instance, in March 2023, the UK Government’s Department for Environment, Food and Rural Affairs (Defra) agreed with Amazon Web Services for USD 25 million.

In Germany, the adoption of AI is booming; according to the German government, AI is used in more than 80 federal institutions, and around 190 research projects were funded with more than USD 1.82 billion. Further, Germany’s energy policies are known as “Energiewende,” aiming to reduce carbon emissions by 80% and increase the share of renewable energy by 2050. The country is connected via seven existing submarine cables to various countries worldwide. Digital E4 is also planned to connect Denmark, Germany, and Sweden to be operational by 2023.

KEY HIGHLIGHTS

• Germany's government is continuously trying to improve the country's digital economy. The German Federal Government launched its Artificial Intelligence strategy, which has plans to invest around USD 5.07 billion until 2025.
• Regarding 5G deployment, telecom operators such as Vodafone, Telefónica Deutschland, and Deutsche Telekom are majorly involved in deploying 5G network services across the country. According to a recent statement from Deutsche Telekom, in January 2023, 94% of people across the country were already connected to the country’s 5G network.
• The 5G network connectivity deployment increase drives the demand for edge facilities in the Germany data center market. In February 2023, I Squared Capital launched the edge data center firm nLighten in Germany. The company plans to launch around 10 locations in Germany.
• Under EU law, Germany established free trade zones at locations such as Bremerhaven, Cuxhaven, Deggendorf, and Duisburg, which will attract data center operators to invest in these trade zones.
• The country aims for carbon neutrality, and even colocation providers are moving toward carbon neutrality. For instance, Global Switch will reduce carbon emissions by adopting 100% renewable energy in all its facilities by 2030.

WHY SHOULD YOU BUY THIS RESEARCH?

• Market size available in the investment, area, power capacity, and Germany colocation market revenue.
• An assessment of the data center investment in Germany by colocation, hyperscale, and enterprise operators.
• Investments in the area (square feet) and power capacity (MW) across states in the country.
• A detailed study of the existing Germany data center market landscape, an in-depth market analysis, and insightful predictions about industry size during the forecast period.
• Snapshot of existing and upcoming third-party data center facilities in Germany
  • Facilities Covered (Existing): 140
  • Facilities Identified (Upcoming): 17
  • Coverage: 25+ Cities
  • Existing vs. Upcoming (Area)
  • Existing vs. Upcoming (IT Load Capacity)
• Data center colocation market in Germany
  • Market Revenue & Forecast (2022-2028)
  • Retail Colocation Pricing
• The Germany market investments are classified into IT, power, cooling, and general construction services with sizing and forecast.
• A comprehensive analysis of the latest trends, growth rate, potential opportunities, growth restraints, and prospects for the market.
• Business overview and product offerings of prominent IT infrastructure providers, construction contractors, support infrastructure providers, and investors operating in the market.
• A transparent research methodology and the analysis of the demand and supply aspects of the market.

VENDOR LANDSCAPE

• In 2022, some key investors in the Germany data center market were Equinix, Digital Realty, Vantage Data Centers, Penta Infra, maincubes, NDC-GARBE Data Centers, CyrusOne, and Green Mountain.
• Equinix, Colt Data Centre Services, maincubes, Iron Mountain, CyrusOne, Penta Infra, OVHcloud, and Vantage Data Centers are some major colocation operators operating in the Germany data center market.
• The country is witnessing an investment from new entrants NDC-GARBE Data Centers, Damac Data Centres, Green Mountain, DATA CASTLE, and NewTelco in Germany.
• The data center demand in Germany in terms of industry sectors is majorly witnessed from sectors such as cloud, large enterprise, telecom, healthcare, automobiles, logistics, gaming, BFSI, and education.
• Most colocation facilities in the market are being developed according to Tier III standards. According to Uptime Institute, around five data centers received Tier III certification from Uptime Institute.
• Some colocation operators are entering into PPAs with energy producers for green energy supply for data center facility operations. In February 2023, Digital Realty and Iliad signed a power purchase agreement (PPA) to acquire solar energy in the country.
• The German data center market has local and global construction contractors catering to major market operators. For instance, Mercury Engineering provided electrical and mechanical installation services to Digital Realty’s FRA13 and FRA15 data center facilities.

EXISTING VS. UPCOMING DATA CENTERS

• Existing Facilities in the Region (Area and Power Capacity)
  • Frankfurt
  • Munich
  • Berlin
  • Hamburg
  • Nuremberg
  • Düsseldorf
  • Other Cities
• List of Upcoming Facilities in the region (Area and Power Capacity)

REPORT COVERAGE:

This report analyses the Germany data center market share. It elaboratively analyses the existing and upcoming facilities and investments in IT, electrical, mechanical infrastructure, general construction, and tier standards. It discusses market sizing and investment estimation for different segments. The segmentation includes:

• IT Infrastructure
  • Servers
  • Storage Systems
  • Network Infrastructure
• Electrical Infrastructure
  • UPS Systems
  • Generators
  • Switches & Switchgears
  • PDUs
  • Other Electrical Infrastructure
• Mechanical Infrastructure
  • Cooling Systems
  • Racks
  • Other Mechanical Infrastructure
• Cooling Systems
  • CRAC & CRAH Units
  • Chiller Units
  • Cooling Towers, Condensers & Dry Coolers
  • Economizers & Evaporative Coolers
  • Other Cooling Units
• General Construction
  • Core & Shell Development
  • Installation & Commissioning Services
  • Engineering & Building Design
  • Fire Detection & Suppression
  • Physical Security
  • Data Center Infrastructure Management (DCIM)
• Tier Standard
  • Tier I & Tier II
  • Tier III
  • Tier IV

VENDOR LANDSCAPE

• IT Infrastructure Providers: Atos, Broadcom, Cisco Systems, Dell Technologies, Fujitsu, Hewlett Packard Enterprise, Huawei Technologies, IBM, Juniper Networks, Lenovo, and NetApp.
• Data Center Construction Contractors & Sub-Contractors: AECOM, Arup, Collen Construction, DPR Construction, ICT Facilities, KLEINUNDARCHITEKTEN, Lupp Group, Max Bogl, Mercury Engineering, M+W Group (Exyte), Royal HaskoningDHV, STS Group, SPIE, Winthrop Engineering, and Zech Group.
• Support Infrastructure Providers: ABB, Airedale International Air Conditioning, Caterpillar, Cummins, Delta Electronics, Eaton, KOHLER-SDMO, Legrand, Mitsubishi Electric, Piller Power Systems, Riello UPS, Rittal, Rolls Royce, Schneider Electric, Siemens, Socomec, STULZ, and Vertiv.
• Data Center Investors: China Mobile International, Colt Data Centre Services, CyrusOne, Datacenter One, Digital Realty, Equinix, Global Switch, Hetzner Online, Iron Mountain, ITENOS, Lumen Technologies, maincubes, noris network, NDC-GARBE Data Centers, NTT Global Data Centers, Penta Infra, Telehouse, Vantage Data Centers.
• New Entrants: NewTelco, Damac Data Centres, Data Castle, and Yondr.