Europe is set to see an unprecedented expansion of data center capacity. According to CBRE Group, new data centers are expected to generate demand for 937 megawatts of power capacity in 2025, up 43% from 655 MW in 2024. This increase is being driven by rising demand for AI and cloud computing services. Over 57% of new capacity is expected in key European markets such as Frankfurt, London, Amsterdam, Paris and Dublin. Factors such as energy availability, suitable space, government incentives and the expansion plans of major cloud providers are contributing to this growth.
In addition to AI integration and the expansion of data centers, other trends in cloud computing are emerging:
Edge computing: Processing data close to where it is created is becoming increasingly important in order to reduce latency and support real-time applications.
Hybrid and multi-cloud strategies: Companies are increasingly relying on hybrid and multi-cloud approaches to increase flexibility and avoid dependence on individual providers.
Sustainability: The focus on environmentally friendly cloud solutions is growing, with providers striving to minimize their carbon footprint and operate energy-efficient data centers.
These developments demonstrate how cloud computing is continually adapting to the needs of businesses while driving technological innovation.