The construction of new data centres will generate more than €4.5 billion in inward investment for Ireland by 2025, according to the latest industry update report from Host In Ireland in association with Bitpower.
Thirty-four new data centres are now likely to be operational in the next 6 years, in addition to the 53 which are currently active. With eight new data centres under construction, and 26 with planning approval in place, the value of the projects is expected to deliver €4.5bn in inward investment to the Irish economy over a 6 year period.
The Quarter 2 report also highlights the growing level of direct investment in renewable energy from the data sector with Amazon only recently announcing Cork as the location for a wind farm development, on top of an earlier investment in April this year in Donegal.
Speaking at the launch of the Q2 report, Garry Connolly, President of Host In Ireland said:
“What is most encouraging is that this year we have seen several large scale investments in the renewable energy sector from leading data centre operators. We expect these non-subsidised investments to continue.”
The uncertainty around Brexit has not affected momentum in the data centre industry either according to Mr. Connolly:
“We have not seen any detrimental effects on investment from our projections two years ago despite uncertainty around Brexit. In fact, from our original projections they have risen by €1billion for 2021.”
Key findings of the Q.2, 2019 Update Report include:
- Annual Investment in data centres has reached €1.3bn on an annual basis
- Cumulative investment in the data centre sector up to 2023 is ex €11bn
- Dublin South West remains the largest cluster of data centres in Ireland with 14 active data centres