Italy's Data Center Colocation Market to Reach $2.3 Billion by 2030, $18 Billion Worth of Data Center Projects in the Pipeline - Arizton

Insights on 106 Colocation Data Center Facilities across Italy
According to Arizton research, the Italy data center colocation market [https://www.arizton.com/market-reports/italy-data-center-colocation-market]was valued at USD 725 million in 2024 and is projected to reach USD 2.3 billion by 2030, registering a robust CAGR of 21.22%. As of December 2024, the country hosts 72 operational colocation data centers, with further expansion anticipated as both existing operators and new entrants plan significant investments.

Milan continues to serve as Italy's primary data center hub, featuring 29 operational facilities and 21 upcoming centers, many of which are advanced facilities and dedicated cloud regions. Strengthening the ecosystem, the Italian Datacenter Association (IDA), established in January 2023, is driving collaboration and growth across cloud and data center businesses in Italy. According to IDA, data center projects worth USD 18 billion are currently in the pipeline, awaiting authorization, and are expected to be completed by 2028.

Explore the Full Market Insights: [https://www.arizton.com/market-reports/italy-data-center-colocation-market]

Report Summary:

MARKET SIZE - COLOCATION REVENUE: USD 2.3 Billion (2030)

CAGR - COLOCATION REVENUE: 21.22% (2024-2030)

21.22% (2024-2030) MARKET SIZE - UTILIZED WHITE FLOOR AREA: 4.94 million sq. feet (2030)

MARKET SIZE - UTILIZED RACKS: 127 thousand units (2030)

MARKET SIZE - UTILIZED IT POWER CAPACITY: 1,065 MW (2030)

BASE YEAR: 2024

FORECAST YEAR: 2025-2030

Italy Targets 65% Renewable Energy by 2030, Led by Solar and Hydropower

Italy is rapidly advancing its renewable energy transition, with a clear focus on sustainability and reducing its carbon footprint. The country aims to produce around 65% of its power from renewables by 2030, with solar and hydroelectric power leading the charge toward achieving its carbon neutrality targets. In 2024, 41% of Italy's electricity came from renewable sources, with photovoltaic farms generating over 36 TWh, highlighting the strong momentum in solar energy adoption.

Aligning with EU net-zero targets by 2050, Italy is seeing growing collaboration between public and private sectors. A notable example is Data4's 10-year PPA with Edison Energia, covering 500 GWh from a 148 MW solar park in Lazio, supplying 10% of its energy consumption in Italy.

Italy's Digital Transformation Opens New Avenues for Investment and Innovation

Italy is accelerating its digital transformation journey, powered by rapid advancements in AI, cloud computing, and 5G connectivity. With over 90% internet penetration and 71% of the population active on social media, the nation is witnessing one of the fastest digital adoption rates in Europe. This surge reflects Italy's broader vision under the Digital Decade Strategy 2030, which aims to strengthen digital infrastructure, innovation, and sustainability while enhancing digital skills and connectivity nationwide.

Government and international partnerships are further amplifying this momentum. In January 2025, the UNEP and IEA, with support from the Italian government, launched a groundbreaking initiative to digitalize power systems and reduce climate impact, aligning digital growth with environmental goals. Additionally, Italy's first digital ID system, introduced in October 2024, marks a pivotal step toward seamless e-governance. With Italy's digital ID system advancing toward full implementation by 2025, the country is positioning itself as a model for secure and sustainable digital transformation in Europe.

Italy Powers Ahead: Government-Backed Data Centers Driving Europe Tech Future

The Italian government is supporting the growth of data centers through various initiatives focused on digital transformation, energy efficiency, and advanced infrastructure development, positioning Italy as a key technology hub in Europe. Recent strategic moves, including the $774M partnership with Retelit to develop Telecom Italia's Sparkle submarine cable and the $8.7B approval of Swisscom's acquisition of Vodafone Italy, are strengthening connectivity and modernizing the country's telecom landscape.

The government is also fostering sustainable data center development through tax incentives, infrastructure support, and a focus on renewable energy integration, while maintaining robust regulatory standards via the Italian Privacy Code aligned with EU e-Privacy directives. These efforts are creating a stable, growth-oriented environment that delivers clear opportunities for global technology leaders.

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Vendor Landscape

Existing Colocation Operators

* Aruba
* DATA4
* STACK Infrastructure
* Telecom Italia Sparkle (TIM)
* Equinix
* Retelit
* Keppel Data Centres
* Eni
* Others

New Operators

* Adriatic DC
* Apto
* CloudHQ
* Compass Datacenters
* CyrusOne
* Digital Realty
* VIRTUS Data Centres
* NTT DATA
* Vantage Data Centers
* University Of Trento & Trentino Data Mine

What's Included in Italy Data Center Colocation Market Report?

The report provides a comprehensive view of Italy's data center colocation market, covering demand and supply insights, market size by white floor area, IT capacity, and racks, as well as Core & Shell vs Installed vs Utilized IT power. It includes investment analysis, forecasts (2024-2030), industry-wise colocation demand, AI impact, cloud operations, and sustainability trends, along with existing (72) and upcoming (28) facilities across 24 locations. The report also details revenue and pricing trends, competitive and vendor landscapes, and highlights key opportunities, growth drivers, and market prospects for investors and operators.

Target Audience

* Data center Real Estate Investment Trusts (REIT)
* Data center Construction Contractors
* Data center Infrastructure Providers
* New Entrants
* Consultants/Consultancies/Advisory Firms
* Corporate and Government Agencies

Related Reports That May Align with Your Business Needs

Italy Data Center Market - Investment Analysis & Growth Opportunities 2025-2030

[https://www.arizton.com/market-reports/italy-data-center-market-investment-analysis]

Denmark Data Center Colocation Market - Supply & Demand Analysis 2025-2030

[https://www.arizton.com/market-reports/denmark-data-center-colocation-market]

What Key Findings Will Our Research Analysis Reveal?

* How much mw of IT power capacity is likely to be utilized in Italy by 2030?
* What factors are driving Italy data center colocation market?
* What is the count of existing and upcoming colocation data center facilities in Italy?
* Who are the new entrants in Italy data center industry?

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