Data Centers: The Key to Digital Transformation

Germany is at a turning point: digitization is progressing steadily. High-performance data centers are the backbone of this development, as a result of which the demand for IT computing power has increased tenfold since 2010. The “Data Center Impact Report Germany 2024” by the German Datacenter Association (GDA) underlines the central role of data centers in this process. We at centron would like to take the publication of this study as an opportunity to present our contribution to this development in concrete terms.

Secure and reliable Operation: A Must for Digital Sovereignty

In a world where almost every application relies on digital infrastructure – from smartphone apps to critical infrastructure such as hospitals and financial services – the highly available and fail-safe operation of data centers is essential. At centron, we attach great importance to offering our customers precisely this security and reliability. Our data centers meet the highest security standards and guarantee compliance with German and European data protection laws to ensure the data sovereignty of our customers.

Sustainability as the Core of Our Actions

Another key aspect of the report is the role of data centers in promoting sustainability. Digitalization contributes significantly to the reduction of CO2 emissions by replacing analog processes and enabling more efficient solutions. At centron, we are proud to be pioneers in the use of renewable energy. Our data centers obtain the majority of their electricity from renewable sources. Across Germany, 88% of the electricity consumed by colocation data centers currently comes from renewable sources. At centron, we also rely on advanced cooling technologies to continuously improve our energy efficiency.

Growth and economic Contribution

The Data Center Impact Report Germany 2024 further states that the data center industry creates significant economic value and contributes to Germany’s digital sovereignty and economic resilience. The demand for cloud services, big data analytics and AI technologies continues to drive growth. At centron, we are continuously investing in the expansion of our infrastructure to meet this demand and make our contribution to the digital transformation. The IT capacity of colocation data centers in Germany is expected to increase from the current 1.3 GW to 3.3 GW by 2029. This is also reflected in significant investments: according to the forecast, around EUR 24 billion will be invested in the expansion of colocation capacities by 2029.

Challenges and Opportunities

Despite the positive developments, the industry faces considerable challenges such as high electricity costs, a shortage of skilled workers and complex regulatory requirements. centron is actively committed to finding solutions, for example by promoting training and further education in the IT sector. The shortage of skilled workers is not only one of the biggest challenges in our eyes: 65% of the companies surveyed outside the Frankfurt am Main metropolitan region cited this as the biggest hurdle in the Data Center Impact Report Germany 2024.

The Future: Sustainable and Regional Development

The GDA study impressively shows how important efficient and sustainable data centers are for Germany’s digital future. Data centers are increasingly being recognized as drivers of regional development. The establishment of a data center brings numerous advantages, from fiber optic connections to the creation of new jobs and the use of waste heat for municipal heat supply. Already 28% of colocation operators surveyed use their waste heat for reuse and a further 31% plan to invest in such technologies.