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Portugal Data Center Colocation Market to Surpass USD 290 Million by 2030, Driving Nation's Push to Europe's Top Digitally Advanced Countries | Arizton
Portugal Data Center Colocation Market Research Report by Arizton
According to Arizton research, the Portugal data center colocation market [https://www.arizton.com/market-reports/portugal-data-center-colocation-market] size was valued at USD 70 million in 2024 and is expected to reach USD 290 million by 2030, growing at a CAGR of 26.73% during the forecast period. Portugal has around 17 operational colocation data centers as of December 2024, and this number is expected to increase over time, as several existing and new companies have planned investments in the country.
Explore the Full Market Insights: [https://www.arizton.com/market-reports/portugal-data-center-colocation-market]
Report Summary:
MARKET SIZE - COLOCATION REVENUE: USD 290 Million (2030)
CAGR - COLOCATION REVENUE: 26.73% (2024-2030)
MARKET SIZE - UTILIZED WHITE FLOOR AREA: 1.29 million sq. feet (2030)
MARKET SIZE - UTILIZED RACKS: 31.5 thousand units (2030)
MARKET SIZE - UTILIZED IT POWER CAPACITY: 285 MW (2030)
BASE YEAR: 2024
FORECAST YEAR: 2025-2030
Lisbon and Portugal's Free Trade Zones Fuel Rapid Growth in Data Center Investments
Lisbon stands out as Portugal's central hub for data center development, emerging as one of the country's leading smart cities with major companies and business hubs driving demand. Key regions, including Lisbon, Porto, and the Algarve, are witnessing gradual cost increases, reflecting their strategic value and high demand. Special economic areas such as the Madeira and Azores Free Trade Zones further enhance Portugal's investment appeal, offering significantly reduced corporate tax rates for licensed companies. The country's data center industry continues to grow steadily, with an expanding footprint across prime locations, signaling strong momentum and investment potential.
Portugal Is Attracting Major Colocation Investments
* Favorable climate for data centers: Portugal's mild temperatures and low humidity, especially in coastal areas, reduce the need for energy-intensive cooling, allowing efficient free cooling solutions.
* Strong submarine cable connectivity: With 16 existing cables and four upcoming systems, Medusa, New CAM Ring, NUVEM, and Olisipo, Portugal is set for enhanced international data flow.
* Reliable, renewable energy supply: Portugal's stable power network, driven by wind and hydropower, has eliminated coal, supporting cleaner energy for data center operations.
* Robust data protection: GDPR ensures stringent privacy and security for residents' data, giving businesses compliance certainty.
* Competitive development costs: Building data centers costs $8-$9M per MW, lower than many European markets, though rising with inflation and material prices.
Portugal Aims to Be Among Europe's Top 10 Digitally Advanced Nations by 2030
Portugal is advancing its vision to rank among the top 10 digitally advanced EU Member States by 2030, positioning digital transformation as a key driver of national economic development. The country's strategic agenda emphasizes strengthening digital competencies through education, vocational training, and workforce development, alongside the integration of advanced technologies across public and private sectors. The National Action Plan for the Digital Transition, aligned with the Portuguese Recovery and Resilience Plan, reinforces Portugal's commitment to digital inclusion and institutional modernization.
Furthermore, initiatives such as the National Digital Strategy and AI Portugal 2030 are accelerating the adoption of Artificial Intelligence, open data, and advanced computing across key sectors including healthcare, climate, agriculture, and cybersecurity, underscoring Portugal's determination to build a sustainable, innovation-led digital economy.
Government's Supportive Initiatives Drive Portugal's Regional Digital Growth
Portugal is accelerating its digital transformation through a series of strategic initiatives such as the Digital Transition Plan and AI Portugal 2030, reinforcing the country's focus on innovation and sustainable digital growth. Investments under the Portugal 2030 Program, supported by European funds, are channelled toward enhancing digital infrastructure, advancing research, and promoting the digitalization of businesses. Complementing these efforts, the INCoDe.2030 initiative emphasizes inclusion, education, workforce qualification, specialization, and research, ensuring a skilled talent pool to support Portugal's evolving digital economy.
The second phase of the Industria 4.0 strategy introduces strategic frameworks for Artificial Intelligence and advanced computing, while the newly launched Tax Incentive for Scientific Research and Innovation (IFICI) aim to attract and retain highly qualified professionals in science, technology, and business development, positioning Portugal as a hub for digital innovation and economic transformation.
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Vendor Landscape
Existing Colocation Operators
* Start Campus
* Equinix
* NOS
* DECSIS
* Ar Telecom
* Portugal Telecom (Altice)
* REN
* Clarinet
New Operators
* Templus
* MERLIN Properties
* AtlasEdge
* Quetta Data Centers (Azora)
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What Key Findings Will Our Research Analysis Reveal?
* What is the count of existing and upcoming colocation data center facilities in Portugal?
* What factors are driving Portugal data center colocation market?
* Who are the new entrants in Portugal data center industry?
* How much MW of IT power capacity is likely to be utilized in Portugal by 2030?
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About Us:
Arizton Advisory and Intelligence is an innovative and quality-driven firm that offers cutting-edge research solutions to clients worldwide. We excel in providing comprehensive market intelligence reports and advisory and consulting services.
We offer comprehensive market research reports on consumer goods & retail technology, automotive and mobility, smart tech, healthcare, life sciences, industrial machinery, chemicals, materials, I.T. and media, logistics, and packaging. These reports contain detailed industry analysis, market size, share, growth drivers, and trend forecasts.
Arizton comprises a team of exuberant and well-experienced analysts who have mastered generating incisive reports. Our specialist analysts possess exemplary skills in market research. We train our team in advanced research practices, techniques, and ethics to outperform in fabricating impregnable research reports.
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