Europe Data Center Server Market Size (2024 - 2029)

The Europe data center server market is experiencing significant growth, driven by the increasing demand for cloud computing among small and medium-sized enterprises, stringent government regulations for local data security, and rising investments from domestic players. This growth is reflected in the market's expansion in terms of IT load capacity, construction of raised floor areas, and the installation of racks. The United Kingdom is anticipated to lead in rack installations, while the region's connectivity is enhanced by numerous submarine cable systems, including the upcoming SeaMeWe-6.

Market Size of Europe Data Center Server Industry

Europe Data Center Server Market Summary
Study Period 2019 - 2030
Base Year For Estimation 2023
Market Size (2024) USD 27.56 Billion
Market Size (2030) USD 44.47 Billion
CAGR (2024 - 2030) 8.30 %
Market Concentration Medium

Major Players

Europe Data Center Server Market Major Players

*Disclaimer: Major Players sorted in no particular order

Europe Data Center Server Market Analysis

The Europe Data Center Server Market size is estimated at USD 27.56 billion in 2024, and is expected to reach USD 44.47 billion by 2030, growing at a CAGR of 8.30% during the forecast period (2024-2030).

The increasing demand for cloud computing among SMEs, government regulations for local data security, and growing investment by domestic players are some of the major factors driving the demand for data centers in the region.

  • The upcoming IT load capacity of the Europe data center Server market is expected to reach 18K MW by 2029.
  • The region's construction of raised floor area is expected to increase 87.6 million sq. ft by 2029.
  • The region's total number of racks to be installed is expected to reach 4.3 million units by 2029. The United Kingdom is expected to house the maximum number of racks by 2029.
  • There are close to 210 submarine cable systems connecting the Europe, and many are under construction. One such submarine cable that is estimated to start service in 2025 is SeaMeWe-6, which stretches over 19,200 Kilometers with its landing point in Marseille, France.

Europe Data Center Server Industry Segmentation

A data center server is basically a high-capacity computer without peripherals like monitors and keyboards. It is a hardware unit installed inside a rack, having a central processing unit (CPU), storage, and other electrical and networking equipment, making them powerful computers that deliver applications, services, and data to end-user devices.

The Europe data center server market is segmented by form factor (blade sever, rack server, and tower server), by end-user (it & telecommunication, BFSI, government, media and entertainment, and other end users), and by geography (France, United Kingdom, Sweden, Austria, Belgium, Germany, Ireland, Italy, Norway, Poland, Spain, Switzerland, Netherlands, Denmark, and rest of Europe). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.

Form Factor
Blade Server
Rack Server
Tower Server
End-User
IT & Telecommunication
BFSI
Government
Media & Entertainment
Other End-Users
***Geography
France
United Kingdom
Sweden
Austria
Belgium
Germany
Ireland
Italy
Norway
Poland
Spain
Switzerland
Netherlands
Denmark
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Europe Data Center Server Market Size Summary

The Europe data center server market is experiencing significant growth, driven by the increasing demand for cloud computing, stringent government regulations on data security, and substantial investments from local players. The market is poised for expansion as the region anticipates a substantial increase in IT load capacity and construction of raised floor areas. The demand for cloud services is particularly strong in countries like Denmark, Sweden, the United Kingdom, and Germany, with major tech companies like Google, Oracle, and Microsoft establishing a strong presence. The adoption of new technologies such as artificial intelligence, big data, and blockchain is further propelling the market, as businesses increasingly seek cloud-based solutions for data protection and backup. The ongoing developments in submarine cable systems, such as the SeaMeWe-6, are also expected to enhance connectivity and support the growing data center infrastructure.

The United Kingdom stands out with its high internet penetration and robust digital economy, which has been further accelerated by the COVID-19 pandemic. The demand for enterprise cloud services, e-commerce, and digital entertainment has surged, driving the need for data center servers. However, challenges such as power supply sustainability remain a concern for data center providers. The market is moderately consolidated, with major players like Dell Inc., Hewlett Packard Enterprise, and Cisco Systems Inc. leading the charge in innovation and expansion. Recent advancements, including the launch of next-generation servers and generative artificial intelligence solutions, highlight the industry's focus on meeting the evolving demands of cloud computing and data processing. As the region continues to embrace digital transformation, the demand for data center servers is expected to grow, supported by ongoing construction projects and technological advancements.

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Europe Data Center Server Market Size - Table of Contents

  1. 1. Market Dynamics

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

      1. 1.2.1 Adoption of cloud computing services

      2. 1.2.2 Large-scale commercialization of 5G networks

    3. 1.3 Market Restraints

      1. 1.3.1 Rising CapEx for data center construction

    4. 1.4 Value Chain / Supply Chain Analysis

    5. 1.5 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.5.1 Bargaining Power of Buyers/Consumers

      2. 1.5.2 Bargaining Power of Suppliers

      3. 1.5.3 Threat of New Entrants

      4. 1.5.4 Threat of Substitute Products

      5. 1.5.5 Intensity of Competitive Rivalry

    6. 1.6 Assessment of COVID-19 Impact

  2. 2. MARKET SEGMENTATION

    1. 2.1 Form Factor

      1. 2.1.1 Blade Server

      2. 2.1.2 Rack Server

      3. 2.1.3 Tower Server

    2. 2.2 End-User

      1. 2.2.1 IT & Telecommunication

      2. 2.2.2 BFSI

      3. 2.2.3 Government

      4. 2.2.4 Media & Entertainment

      5. 2.2.5 Other End-Users

    3. 2.3 ***Geography

      1. 2.3.1 France

      2. 2.3.2 United Kingdom

      3. 2.3.3 Sweden

      4. 2.3.4 Austria

      5. 2.3.5 Belgium

      6. 2.3.6 Germany

      7. 2.3.7 Ireland

      8. 2.3.8 Italy

      9. 2.3.9 Norway

      10. 2.3.10 Poland

      11. 2.3.11 Spain

      12. 2.3.12 Switzerland

      13. 2.3.13 Netherlands

      14. 2.3.14 Denmark

Europe Data Center Server Market Size FAQs

The Europe Data Center Server Market size is expected to reach USD 27.56 billion in 2024 and grow at a CAGR of 8.30% to reach USD 44.47 billion by 2030.

In 2024, the Europe Data Center Server Market size is expected to reach USD 27.56 billion.

Europe Data Center Server Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2030)