• Spain, Southern Europe’s Data Centre Leader Driven by Digitalization and AI

    October, 2025

The Spanish data centre market is experiencing a period of strong expansion and has become a strategic pillar within Europe’s digital economy. Between 2025 and 2027, the country is expected to add over 600 MW of IT capacity, reinforcing its status as a key technological hub in Southern Europe. This growth is being driven by the rapid development of Artificial Intelligence (AI), the increasing demand for cloud services, and the rising interest from institutional investors in assets linked to digital and energy transitions.

Madrid and Aragón remain at the forefront of this growth, concentrating 60% of the projected expansion, equivalent to 396 MW IT. Madrid continues to strengthen its position as the digital epicentre of the region, supported by large-scale projects led by global operators and a robust network infrastructure that connects Spain with Europe, the Americas, and Africa. Meanwhile, Aragón has established itself as a preferred destination for large-scale data centre campuses, offering regulatory stability, access to renewable energy, and attractive land availability.

The rise of generative AI and “GPU-as-a-Service” models is reshaping infrastructure demand, creating a growing need for high-capacity, low-latency facilities. At the same time, sustainability has become a defining element of the sector. Initiatives such as green energy PPA agreements and advanced cooling technologies highlight the market’s commitment to reducing its carbon footprint and optimizing energy efficiency.

During the presentation, Begoña Villacís, Director of the Spanish Data Centre Association, emphasized that “Spain has a unique opportunity to lead Europe’s new digital economy,” stressing the importance of public-private collaboration to ensure energy availability and streamline administrative processes in the sector.

At CG Capital Europe, we closely monitor the continued increase in international investment in digital infrastructure across the Iberian Peninsula, coming from both institutional funds and global technology operators. The remarkable growth of the Spanish market marks its evolution from an emerging environment to a European benchmark hub for data centres, fuelled by digitalization, AI, and sustainability. In this scenario, specialized independent financial advisory that CG Capital Europe offers to its clients, will play a crucial role in structuring efficient and sustainable investment opportunities that remain attractive to long-term investors.