Iceland Data Center Colocation Market Analysis Report Includes Colocation Supply, Colocation Demand, & Colocation Revenue. Get Insights on Existing and Upcoming Facilities Across Iceland.

Iceland Data Center Colocation Market – Supply & Demand Analysis 2025-2030

COLOCATION DEMAND AND SUPPLY HIGHLIGHTS

The Iceland data center colocation market size was valued at USD 170 million in 2024 and is expected to reach USD 375 million by 2030, growing at a CAGR of 14.09% during the forecast period. Iceland has around 7 operational colocation data centers as of December 2024. The number of colocation data centers is expected to grow over time, as both existing and new companies have planned investments in the country.

In 2024, the average occupancy of data center facilities in Iceland was over 95.5%, representing a strong absorption rate. By 2030, the vacancy rate is likely to be less than 3%, owing to a rise in strong demand for data storage facilities.

The major colocation operators that have a strong presence in the market include atNorth, Verne and Borealis Data Center. These companies are rapidly expanding their presence in the market to gain a competitive advantage.

In Iceland, several colocation data center operators developed wholesale colocation facilities due to the increasing demand from the AI and cloud sectors. This shift enabled hyperscale clients to secure larger, scalable spaces with better energy efficiency and lower costs.

The entry of several other global and regional players will increase the competition in the market. In August 2025, GIGA-42 Holdings Limited signed a new memorandum of understanding with Global InterConnection Group for the development of a new 50MW data center in Bakki, Húsavík.

WHAT'S INCLUDED?

1. A transparent research methodology and insights on the colocation demand and supply aspect of the market.
2. Market size available in terms of utilized white floor area, IT power capacity and racks.
3. Market size available in terms of Core & Shell Vs Installed Vs Utilized IT Power Capacity, along with the occupancy %.
4. An assessment and snapshot of the colocation investment in Iceland.
5. The study of the existing Iceland data center market landscape, and insightful predictions about Iceland data center market size during the forecast period.
6. An analysis on the current and future colocation demand in Iceland by several industries.
7. Impact of AI on the Data Center Industry in Iceland.
8. The study on sustainability status in Iceland.
9. Analysis on current and future cloud operations in Iceland.
10. The snapshot of upcoming submarine cables and existing cloud-on-ramps services in Iceland.
11. Snapshot of existing and upcoming third-party data center facilities in Iceland
12. Facilities Covered (Existing): 7
13. Facilities Identified (Upcoming): 1
14. Coverage: 5 locations
15. Existing vs. Upcoming (White Floor Area)
16. Existing vs. Upcoming (IT Load Capacity)
17. Data center colocation market in Iceland
18. Colocation Market Revenue & Forecast (2024-2030)
19. Retail Colocation Revenue (2024-2030)
20. Wholesale Colocation Revenue (2024-2030)
21. Retail Colocation Pricing along with Addons
22. Wholesale Colocation Pricing along with the pricing trends.
23. An analysis on the latest trends, potential opportunities, growth restraints, and prospects for the colocation data center industry in Iceland.
24. Competitive landscape including market share analysis by the colocation operators based on IT power capacity and revenue.
25. Vendor landscape of each existing and upcoming colocation operators based on existing/ upcoming count of data centers, white floor area, IT power capacity and data center location.

TARGET AUDIENCE

1. Data center Real Estate Investment Trusts (REIT)
2. Data center Construction Contractors
3. Data center Infrastructure Providers
4. New Entrants
5. Consultants/Consultancies/Advisory Firms
6. Corporate and Governments Agencies