Hyperscaler Data Center Expansion Can't Keep Up With AI-Fueled Demand
ITPro, Tuesday, April 23rd, 2024
Europe has seen a record year for data center expansion, but demand is exceeding capacity at a blistering pace
Data center space failed to keep pace with demand last year, despite the building boom fueled by the industry's largest customers.
According to new research from commercial real estate services firm CBRE, there was 601MW of take-up across the 14 largest markets in Europe in 2023.
However, just 561MW of new supply was delivered during the same period - the second time in five years that take-up has exceeded new supply in Europe.
"Hyperscalers have sought increasingly larger facilities that are tailored to their needs for some time," said Kevin Restivo, CBRE's head of European data center research.