Digital Realty has announced a $2 billion investment in a UK-based mega-campus, a move that positions the country as a key player in Europe’s rapidly expanding digital infrastructure landscape. The project will deliver more than 300MW of AI-ready capacity, underlining the UK’s appeal as a strategic hub for hyperscale computing.
The announcement marks a decisive shift in how data centre ecosystems are conceived—modular, sustainable and scalable to support the surging demands of AI, enterprise and cloud services. With London’s metro area facing rising energy costs and land constraints, operators are looking further afield. The UK data centre market grew 18% in 2024, fuelled by fintech and cloud-native firms and its proximity to key subsea cable landings.
The mega-campus will integrate direct grid interconnects exceeding 300MW, supported by onsite solar, battery energy storage and long-term green energy contracts. Plans are also in place to prepare for future hydrogen power integration. The project aims to meet BREEAM “Outstanding” standards and align with Science Based Targets for carbon reduction.
Demand is already strong. Major cloud providers—including AWS, Google Cloud and Microsoft Azure—have reportedly pre-leased capacity ahead of completion, as AI workloads drive demand for high-density, custom-cooled infrastructure. AI training workloads in Europe are now outpacing general cloud computing demand by a factor of three.
Financial backing includes Digital Realty’s own capital, ESG-linked green bonds and joint ventures with infrastructure investors. The sector’s attractiveness is growing fast, with the European data centre REIT market expanding at over 25% annually.
The campus will launch with 80MW across four data halls, scaling to 300MW+ by 2029. Its modular design allows for phased growth aligned with evolving technologies like quantum computing and AI accelerators. The development phase is expected to create 2,500 construction jobs, followed by more than 400 permanent high-skill roles. Local workforce development partnerships with UK universities are also planned.
Government support has been instrumental. Planning approvals were fast-tracked under the UK’s Digital Strategy 2030, which focuses on resilient AI infrastructure, data sovereignty and net-zero targets. The project aligns closely with national objectives and serves as a model for public-private collaboration.
Long-term plans include zones for AI supercomputing, hydrogen energy integration and global network exchange hubs. The design aims to future-proof the site and ensure its global competitiveness in the AI era. Digital Realty’s mega-campus sets a new benchmark in European infrastructure. As competitors like NTT, Equinix and CyrusOne expand UK footprints, and with projects like Blackstone’s $13 billion hyperscale development in North East England also progressing, the UK’s status as a digital infrastructure leader is being firmly reinforced.
This bold investment underscores the UK’s growing importance as a centre for sustainable, AI-driven digital transformation—placing it at the forefront of Europe’s data economy.
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