Spain Data Center Market Size

The Spain Data Center Market is anticipated to experience significant growth in its market size over the forecast period, driven by an increasing demand for tier 3 and tier 4 facilities. These facilities are gaining popularity due to their advanced features, such as onsite service and power redundancy, which cater to the needs of sectors like BFSI, telecom, and media. While tier 1 and tier 2 facilities are expected to see a decline in market share due to their limited capabilities and higher outage rates, tier 3 and tier 4 data centers are projected to dominate the market landscape. The shift towards cloud-based services and the need for fault-tolerant solutions are further propelling the expansion of these higher-tier data centers in Spain.

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Market Size of spain data center Industry

Spain Data Center Market Summary
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svg icon Study Period 2017 - 2029
svg icon Market Volume (2024) 0.94 Thousand MW
svg icon Market Volume (2029) 1.35 Thousand MW
svg icon Largest Share by Tier Type Tier 3
svg icon CAGR (2024 - 2029) 7.50 %
svg icon Fastest Growing by Tier Type Tier 4

Major Players

Spain Data Center Market Major Players

*Disclaimer: Major Players sorted in no particular order

Key Players

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Spain Data Center Market Analysis

The Spain Data Center Market size is estimated at 0.94 thousand MW in 2024, and is expected to reach 1.35 thousand MW by 2029, growing at a CAGR of 7.50%. Further, the market is expected to generate colocation revenue of USD 1,827.1 Million in 2024 and is projected to reach USD 2,746.2 Million by 2029, growing at a CAGR of 8.49% during the forecast period (2024-2029).

USD 1,827.07 Million

Market Size in 2024

USD 2,746.2 Million

Market Size in 2029

17.2%

CAGR (2017-2023)

8.5%

CAGR (2024-2029)

IT Load Capacity

940.93 MW

Value, IT Load Capacity, 2024

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Madrid is becoming one of the high-investment destinations in Spain, which creates more need for data storage. The regional government wants to contribute to advancing the Madrid industrial sector's digital transformation, especially SMEs.

Total Raised Floor Space

Sq. Ft. 4.70 M

Volume, Raised Floor Space, 2024

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The number of digital payment users in the country is projected to reach 40.6 million by 2027. Tier 4 data centers are expected to experience significant growth over the coming years.

Installed Racks

235,231

Volume, Installed Racks, 2024

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The total number of installed racks is expected to reach 337,775 units by 2029. Madrid will likely house the maximum number of racks by 2029. Thor Equities, Global Switch, and others expected to built new DC facilities in coming years.

# of DC Operators & DC Facilities

46 and 69

Volume, DC Facilities, 2024

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Spain has 69 colocation data center facilities, with Madrid as the major hotspot. The increasing adoption of the cloud by most businesses is one of the factors boosting the number of data centers in the country.

Leading Market Player

11.5%

Market Share, Interxion (Digital Reality), 2023

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Interxion (Digital Reality) has four data center facilities in Spain, with 393816.0 sq. ft of net rentable capacity, 79.52 MW of IT load capacity, and average racks of more than 19,000 units.

Tier 3 data center accounted for majority share in terms of volume in 2023, and is expected to dominate through out the forecasted period

  • In 2023, the IT load capacity of tier 3 data centers in Spain is expected to reach 481.89 MW and then register a CAGR of 8.7% to surpass 795.09 MW by 2029. Conversely, tier 4 data centers are predicted to record a CAGR of 14.45%, reaching a capacity of 547.68 MW by 2029.
  • Over the coming years, facilities in tiers 1 and 2 will gradually slow down and exhibit negative growth, resulting from lengthy and irregular outages. Additionally, they possess a single channel for cooling and electricity, with a predicted uptime of 99.671%. Although these data centers are less expensive than tier 3 and tier 4 facilities, their reduced capability is prompting end users to increasingly opt for tier 3 and tier 4 facilities.
  • In 2029, tier 3 and tier 4 facilities are expected to hold major shares of 58.8% and 40.5%, respectively. The year 2023 will witness the highest demand for tier 3 facilities, which are expected to hold a market share of 65.8%. Owing to features like onsite service, power, and cooling redundancy, tier 3 data centers are the most popular. BFSI, telecom, media, and entertainment consumers are primarily using wholesale and hyperscale colocation facilities, driving significant tier 3 facility usage.
  • The number of digital payment users in the country is projected to reach 40.6 million by 2027, up from 32.35 million users in 2022. Tier 4 data centers are expected to experience significant growth over the coming years. Large businesses prefer tier 4 data centers due to their fault-tolerant capabilities, reduced downtime, and 99.99% uptime. Additionally, as more companies adopt cloud-based services, the demand for tier 3 and tier 4 facilities to offer colocation space with the latest technology will increase.
Spain Data Center Market

Spain Data Center Industry Segmentation

Madrid are covered as segments by Hotspot. Large, Massive, Medium, Mega, Small are covered as segments by Data Center Size. Tier 1 and 2, Tier 3, Tier 4 are covered as segments by Tier Type. Non-Utilized, Utilized are covered as segments by Absorption.

  • In 2023, the IT load capacity of tier 3 data centers in Spain is expected to reach 481.89 MW and then register a CAGR of 8.7% to surpass 795.09 MW by 2029. Conversely, tier 4 data centers are predicted to record a CAGR of 14.45%, reaching a capacity of 547.68 MW by 2029.
  • Over the coming years, facilities in tiers 1 and 2 will gradually slow down and exhibit negative growth, resulting from lengthy and irregular outages. Additionally, they possess a single channel for cooling and electricity, with a predicted uptime of 99.671%. Although these data centers are less expensive than tier 3 and tier 4 facilities, their reduced capability is prompting end users to increasingly opt for tier 3 and tier 4 facilities.
  • In 2029, tier 3 and tier 4 facilities are expected to hold major shares of 58.8% and 40.5%, respectively. The year 2023 will witness the highest demand for tier 3 facilities, which are expected to hold a market share of 65.8%. Owing to features like onsite service, power, and cooling redundancy, tier 3 data centers are the most popular. BFSI, telecom, media, and entertainment consumers are primarily using wholesale and hyperscale colocation facilities, driving significant tier 3 facility usage.
  • The number of digital payment users in the country is projected to reach 40.6 million by 2027, up from 32.35 million users in 2022. Tier 4 data centers are expected to experience significant growth over the coming years. Large businesses prefer tier 4 data centers due to their fault-tolerant capabilities, reduced downtime, and 99.99% uptime. Additionally, as more companies adopt cloud-based services, the demand for tier 3 and tier 4 facilities to offer colocation space with the latest technology will increase.
Hotspot
Madrid
Rest of Spain
Data Center Size
Large
Massive
Medium
Mega
Small
Tier Type
Tier 1 and 2
Tier 3
Tier 4
Absorption
Non-Utilized
Utilized
By Colocation Type
Hyperscale
Retail
Wholesale
By End User
BFSI
Cloud
E-Commerce
Government
Manufacturing
Media & Entertainment
Telecom
Other End User
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Spain Data Center Market Size Summary

The Spain Data Center Market is experiencing significant growth, driven by the increasing demand for advanced data center facilities such as tier 3 and tier 4 centers. These facilities are favored for their superior features, including onsite service and power redundancy, which cater to the needs of sectors like BFSI, telecom, media, and entertainment. The shift towards digitalization, accelerated by the pandemic, has further fueled the demand for data center services, as more businesses and consumers rely on digital platforms and cloud-based services. The rapid adoption of mobile technology and the expansion of 5G networks are also contributing to the growing need for data storage and processing capabilities, prompting a shift from less capable tier 1 and tier 2 facilities to more robust tier 3 and tier 4 options.

The market landscape is characterized by a fragmented structure, with major players like Acens Technologies SL, Equinix Inc., EXA Infrastructure, Interxion, and T-Systems International GmbH holding significant shares. These companies are actively expanding their infrastructure to meet the rising demand, as evidenced by recent investments and developments in new colocation and connectivity hubs. The expansion of fiber optic networks and the focus on rural broadband coverage are enhancing connectivity and bandwidth, further supporting the growth of data centers in Spain. As digital usage continues to rise, the market is poised for continued expansion, with tier 3 and tier 4 facilities expected to dominate the market share in the coming years.

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Spain Data Center Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (INCLUDES MARKET SIZE IN VOLUME, FORECASTS UP TO 2029 AND ANALYSIS OF GROWTH PROSPECTS)

    1. 1.1 Hotspot

      1. 1.1.1 Madrid

      2. 1.1.2 Rest of Spain

    2. 1.2 Data Center Size

      1. 1.2.1 Large

      2. 1.2.2 Massive

      3. 1.2.3 Medium

      4. 1.2.4 Mega

      5. 1.2.5 Small

    3. 1.3 Tier Type

      1. 1.3.1 Tier 1 and 2

      2. 1.3.2 Tier 3

      3. 1.3.3 Tier 4

    4. 1.4 Absorption

      1. 1.4.1 Non-Utilized

      2. 1.4.2 Utilized

        1. 1.4.2.1 By Colocation Type

          1. 1.4.2.1.1 Hyperscale

          2. 1.4.2.1.2 Retail

          3. 1.4.2.1.3 Wholesale

        2. 1.4.2.2 By End User

          1. 1.4.2.2.1 BFSI

          2. 1.4.2.2.2 Cloud

          3. 1.4.2.2.3 E-Commerce

          4. 1.4.2.2.4 Government

          5. 1.4.2.2.5 Manufacturing

          6. 1.4.2.2.6 Media & Entertainment

          7. 1.4.2.2.7 Telecom

          8. 1.4.2.2.8 Other End User

Spain Data Center Market Size FAQs

The Spain Data Center Market is projected to register a CAGR of 7.50% during the forecast period (2024-2029).

Acens Technologies SL, Equinix Inc., EXA Infrastructure, Interxion (Digital Reality Trust Inc.) and T-Systems International GmbH are the major companies operating in the Spain Data Center Market.

Spain Data Center Market Report Snapshots

Spain Data Center Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029