Romania could at least triple its data center market in the next three years. „The Bucharest – Ilfov area has a real chance to become a regional hub for data centers.”- says the organizer of DataCenter Forum.

The widespread adoption of Artificial Intelligence and cognitive power processes is generating unprecedented demand for data center capacity. This phenomenon is happening in mature markets in the West as well as in secondary or emerging markets, including Romania. Several investors have announced projects totalling more than 100 MW of power. Expert reports estimate 49% growth for emerging DataCenter markets in Europe, which includes Romania.

Romania could triple or even increase its data center capacity by up to seven to eight times in the next three years after several investors announced new projects in the capital in recent months, said Mihai Manole, CEO of Tema Energy and organiser of the DataCenter Forum, the only event dedicated to the data center industry in Romania.

Last year, several major players announced their intentions and started projects to build large data centers. Bucharest was chosen mainly because of its easy access to communication lines, to the
electricity network and to qualified staff.

In fact, eight of the ten most relevant data centers in Romania are located in Bucharest, according
to data summarised by the DataCenter Forum organisers. This year’s DataCenter Forum – which
will take place on May 9th – will host the first-ever debate on investment opportunities in Romania,
with representatives from Portland Trust, DC Byte and ClusterPower.

„The Bucharest – Ilfov area has a real chance to become a regional hub for data centers, thanks to
the conditions it offers to the international investors. The availability of high-speed communications, power supply capacity, the still low price of electricity and skilled human resources are just some of the advantages. In recent months, several major international investors have announced projects in and around Bucharest, totalling over 100 MW of power. If we take into account that the implementation of a large data centers takes on average about 2-3 years, in 2027 we could see an accelerated growth of three up to seven- eight times the current capacity„, says Mihai Manole, CEO of Tema Energy and organiser of DataCenter Forum, the only event dedicated to the data center industry in Romania.

Bucharest – in the regional tops for data centers
Romania’s capital is ranked ninth in the EMEA (Europe, Middle East and Africa) emerging markets, with data centers totalling 15 MW of power, according to a 2023 report released by the real estate consultancy Knight Frank. However, projects already in development could increase this capacity to 50-55 MW in the relatively short term. A similar report published by Savills ranks Bucharest as the 30th most recommended European city to operate a data center.

Thus, secondary markets in Europe, including for example Spain, Poland and Romania, will grow by an average of around 49%, while the core FLAPD area (Frankfurt, London, Amsterdam, Paris, Dublin) will not exceed 16%, according to the EMEA Data Centre 2024 report published by real estate consultancy JLL.

The report also highlights that investments in the data center industry in 2023 have doubled compared to the previous year, totalling €2.34 billion, Europe-wide.

Most international analysts believe that the dramatic reduction in available data center space in the
highly developed data center countries (UK, France, Netherlands, Germany, Ireland, etc.) will lead
more and more investors to turn to secondary markets: Eastern Europe and Scandinavia.

Thus, over the next two years, the main investments will be directed to places where the cost of
land, energy and human resources is lower, but where there are also efficient communication
nodes, sufficient and green electricity, and the technical capabilities to build and operate large data
centers.

___________

Tema Energy is the largest data center designer and builder in Romania, covering the full range of
data center development needs in Romania, of any size or type, including high capacity, AI,
supercomputer or hyperscale data centers, as well as mobile or even micro/Edge DC data centers.
Founded in 2002, Tema Energy is an integrator of complex engineered systems and solutions: data centers, continuous power systems, energy storage, fire detection and suppression, HVAC (Heating, ventilation, and air conditioning), communications, software management, rail systems and other solutions that target mission-critical infrastructures and applications.

DataCenter Forum is the largest event of the data center industry in Romania and the region,
bringing together the community of operators, developers, investors in the field, as well as
professionals involved in engineering and building data centers – designers, engineers, specialists,
consultants. The event will discuss the latest trends in the field, challenges and concerns, as well
as opportunities to invest in this area, in Romania and beyond.