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The Data Center Construction Channel

Panel: Are FLAP-D markets reaching saturation point and where’s the next hot place to build?

This session took place on November 30, 2022

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Panel: Are FLAP-D markets reaching saturation point and where’s the next hot place to build?

For many years, FLAP-D has been the dominant player in EMEA data center markets, benefitted by their interconnectivity, labour markets and industry knowledge. Whilst building in these regions shows no signs of slowing down, data centers face increasing challenges when building, including moratoriums, power shortages and local objection. All of this has resulted in longer lead times when building, higher costs and fierce competition for land. With this in mind, many data centers are expanding more rapidly in tier 2 and 3 markets.

In this episode, it will be explored whether the data center industry is reaching saturation point in tier 1 markets. With data center markets, is it a case of ‘build it and they will come?’. With better network infrastructure and cabling in tiers 2 and 3, which regions can benefit from grid interactive data centers? Furthermore, we will discuss whether tier 1 remain the driving force for the data center industry in the mid to long-term, and where is likely to become the next data center hotspot in the near future?

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