ACCORDING TO A STUDY BY MILAN POLYTECHNIC , INVESTMENTS IN THE ITALIAN DATA CENTRE INDUSTRY ARE PROJECTED TO SOAR TO € 15 BILLION BY 2025 .
E X P E R T O P I N I O N he Italian cloud market
T is turning the heads of cloud providers all across Europe . Now worth over € 5.5 billion , the country has emerged as an increasingly popular destination to establish data centres . Infrastructure services ( IaaS ) are also contributing to this market expansion , driving growth valued at € 1.51 billion , marking a 29 % increase since 2022 , according to the Cloud Transformation Observatory .
The region has recently attracted substantial investments from leading international hyperscalers , and numbers are only expected to keep booming . According to a study by Milan Polytechnic , investments in the Italian data centre industry are projected to soar to € 15 billion by 2025 .
So , what ’ s making this area such a hot spot for investment and development ?
Overcoming FLAP-D obstacles
In recent years , the European data centre market has drifted away from the once-dominant FLAP-D region ( Frankfurt , London , Amsterdam , Paris , Dublin ), giving countries like Italy , Spain and Portugal calling for a solution that breaks away from the ‘ one-size-fits-all ' dynamic .
That ’ s where regional cloud providers have stepped up , offering highly customisable , localised services that meet the demands of international businesses . The growing popularity among these regional providers has positioned Italy as Europe ’ s newest data hub , establishing Italy as a preferred cloud region , with the data centre sector following closely behind .
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ACCORDING TO A STUDY BY MILAN POLYTECHNIC , INVESTMENTS IN THE ITALIAN DATA CENTRE INDUSTRY ARE PROJECTED TO SOAR TO € 15 BILLION BY 2025 .
room to shine . This shift is driven by internal factors , for example energy usage concerns in the Netherlands , leading to government-enforced permit delays on large sites .
Perched on the Mediterranean coastline , countries like Italy and Spain are also geographically strategic locations . The placement of these regions provides strong connectivity to North African and Middle Eastern markets , as well as having connectivity with Northern and West Europe , which is proving advantageous for businesses looking to expand their reach across continents . This accessibility ensures lower latency and faster connectivity , attracting investment and facilitating international business operations .
Regional cloud providers are on the rise
Hyperscalers aren ’ t quite cutting it anymore , especially when it comes to flexibility and time efficiency . Global businesses typically require a more tailored approach to cloud migration ,
The compliance factor
The EU has implemented some particularly stringent laws regarding data in the last decade , namely the General Data Protection Act ( GDPR ), which dictates all businesses to handle personal information and data transparently and responsibly .
International companies operating in Europe are required to play by these rules , so they must think carefully when implementing data practices . That ’ s where Italy comes in .
By leveraging data services in the growing cloud region , global companies can meet the strict requirements enforced by the EU , minimising the risk of hefty fines and privacy violations . This sharp focus on regulatory standards has made Italy stand out as a promising option for companies seeking out secure and compliant data storage .
The socio-economic shift
Europe ' s socio-economic climate has vastly changed , which has spurred a
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