The rapid development of artificial intelligence (AI) is reshaping the landscape of data centers in Germany. In 2025, AI workloads account for approximately 15 percent of the country’s installed data center capacity. By 2030, these capacities are expected to quadruple from 530 MW to 2,020 MW, representing 40 percent of total capacity. Germany currently operates around 2,000 data centers with more than 100 kW each, including 100 larger facilities exceeding 5 MW. The total data center capacity in Germany grew by 9 percent in 2025 to 2,980 MW, with the largest 100 centers contributing half of this total.
The growth is primarily driven by AI and cloud computing demand. Cloud infrastructure now accounts for 49 percent of German data center capacity, up from 45 percent in 2024, and continues to expand. Edge data centers are emerging as well, providing low-latency processing closer to end users, though their total installed capacity remains modest at around 240 MW. Traditional data centers are gradually declining, with a current share of 1,290 MW.
Energy demand is rising alongside capacity expansion. German data centers are expected to consume 21.3 billion kWh in 2025, up from 20 billion kWh in 2024. Two-thirds of this energy is consumed by IT infrastructure—servers, storage, and networking—while one-third powers cooling and facility systems. Despite growing demand, energy efficiency has improved significantly; standard servers achieved a 26 percent annual efficiency gain between 2017 and 2022. Efficiency remains a critical competitive factor for operators, impacting both costs and environmental sustainability.
Capacity distribution across Germany is uneven. Frankfurt remains the leading cluster with 1,100 MW, followed by Bavaria (420 MW), North Rhine-Westphalia (378 MW), Baden-Württemberg (233 MW), and Berlin (146 MW). New large-scale projects are planned in Brandenburg (888 MW), Rhineland-Palatinate (480 MW), and Mecklenburg-Vorpommern (up to 1,000 MW). Frankfurt’s strength lies in connectivity, access to Europe’s largest network hub DE-CIX, and a well-established data center ecosystem, while northern regions offer space availability, green energy, and access to international submarine cables.
Internationally, Germany lags behind. In 2024, the US had 48 GW of installed data center capacity—16 times Germany’s current capacity—with mega facilities dedicated solely to AI workloads. China’s data centers reached 38 GW, highlighting the global competitive pressure.
Policy and regulatory action is crucial for Germany to maintain digital sovereignty. Bitkom emphasizes the need for affordable and stable electricity, accelerated planning and permitting processes, harmonized regulatory frameworks, and optimized heat utilization through municipal planning and incentives. Without decisive action, Germany risks falling behind in the global AI and cloud computing race.
In conclusion, robust, energy-efficient data centers are the foundation of Germany’s digital economy. Expanding capacity, improving efficiency, and streamlining regulations are essential to secure competitive advantage, support AI innovation, and strengthen national digital sovereignty.
Source: Bitkom, “Data Centers in Germany: Current Market Developments – Update 2025,” Borderstep Institute.
