Studies

Data Centers Germany 2025: Colocation and AI as Growth Drivers

The German data center market is growing dynamically. The new bitkom study proves that colocation capacities exceed fifty percent for the first time and artificial intelligence will become the central market factor by 2030.

The data center market in Germany is experiencing continued growth in 2025. A recent study by the Digital Association Bitkom shows that the installed capacities of all data centers and smaller IT installations are increasing significantly. For IT decision-makers and management levels, the shifts towards colocation and the predicted relevance of AI infrastructures are particularly important.

Market Growth and Dominance of Colocation

The total capacity of data centers in Germany will increase by around 250 megawatts to a total of 2,980 megawatts in 2025. This corresponds to an increase of nine percent compared to the previous year. A key trend is the growing importance of colocation data centers. Their share of the total data center capacity will exceed fifty percent for the first time in 2025.

Compared to the previous year, the colocation segment recorded a capacity growth of 17.5 percent. A central driver for this development is the demand from international hyperscale cloud providers, who have so far hardly operated their own data centers in Germany, but are making intensive use of colocation offers. Cloud installations now account for 49 percent of German capacities.

Regional Distribution and the Frankfurt Location

The regional analysis confirms the supremacy of the Frankfurt am Main metropolitan area. With an installed capacity of over 1,100 megawatts, this location combines more than a third of the national total capacity. The region is growing particularly dynamically in a European comparison.

In addition to Frankfurt, Berlin is increasingly establishing itself as the second relevant hub, while northern federal states such as Schleswig-Holstein or Mecklenburg-Vorpommern score points due to the availability of space and renewable energies. The choice of location is largely influenced by factors such as connection to Internet nodes and available power connection services.

Forecast 2030: The Influence of Artificial Intelligence

A look into the future makes it clear that cloud and AI applications will further accelerate market growth. By 2030, data center capacities in Germany are expected to rise to around 5,000 megawatts.

The predicted increase in AI data centers is particularly significant. The share of AI capacities is expected to rise from currently around 15 percent to around 40 percent by 2030. Edge data centers will also become more important due to latency-critical AI applications.

Challenges due to Energy Demand and Network Capacities

With the expansion of capacities, energy consumption inevitably increases. For 2025, an energy demand of 21.3 billion kilowatt hours is forecast for data centers in Germany.

Despite the growth, operators face challenges. Limited power grid capacities as well as lengthy planning and approval procedures are identified as central obstacles that could limit the potential of Germany as a location in the medium term.

Conclusion: Growth, Change, and Responsibility

The German data center market is proving to be extremely robust in 2025 and is growing to a total capacity of 2,980 megawatts, with colocation offerings now accounting for more than half of the capacities. While Frankfurt maintains its dominant position, artificial intelligence is developing into the decisive growth engine for the coming decade, the potential of which will depend largely on the availability of sufficient power grid capacities.