Originally posted on Start Campus.

The data center market in Europe is booming and yet is beginning to look completely different than it was. International market research and market data giant, Research and Markets, notes that despite general concerns like “…economic headwinds, notably rising energy costs, inflation and the threat of an economic slowdown…,” that investment still continues to rapidly increase throughout Europe.

Others like DataCenterHawk concur but note constraints like falling vacancy rates, power limitations, climate regulations, and hyperscale demand gobbling up adjacent market capacity. These factors are “…straining large-scale data center supply in several of these regions…” like Berlin, Madrid, Milan, Zurich and the Nordics.

Enter Portugal. This hidden gem of digital infrastructure opportunity has several strategic reasons for floating near the top of the list for hyperscale and enterprise colocation siting managers. Here are 5 reasons Portugal should be on your radar.

#1. Lower cost power compared to FLAP-D.

Sines sits at one of the most interesting power nodes in the country and connects directly into the European 400 KV grid. Portugal has abundant energy supply to support planned development to deliver hyperscale capacity in a sustainable, secure and resilient way with extremely low power costs relative to alternatives located in FLAP-D (Frankfurt, London, Amsterdam, Paris, and Dublin) cities. The climate is relatively cool, despite the excellent solar resources and the Atlantic Ocean is an amazingly large heat sink with stable and cool temperatures. Ocean cooling, cheap solar development, and persistently lower and more stable power costs translate into a 40% lower overall operating cost vs a FLAP-D equivalent, and it will also provide a range of additional benefits to the local power system.

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