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    Europe Modular Data Center Market

    ID: MRFR/ICT/59401-HCR
    200 Pages
    Aarti Dhapte
    September 2025

    Europe Modular Data Center Market Research Report By Component (Functional Module, Services), By Data Center Size (Mid-Sized, Large Enterprise), By Tier Type (Tier 4, Tier 3, Tier 2, Tier 1), By End User (BFSI, IT and Telecom, Healthcare), and By Regional (Germany, UK, France, Russia, Italy, Spain, Rest of Europe)-Forecast to 2035

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    Europe Modular Data Center Market Infographic
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    Europe Modular Data Center Market Summary

    The Europe Modular Data Center market is poised for substantial growth, projected to reach 21.1 USD Billion by 2035 from a base of 3.24 USD Billion in 2024.

    Key Market Trends & Highlights

    Europe Modular Data Center Key Trends and Highlights

    • The market is expected to grow from 3.24 USD Billion in 2024 to 21.1 USD Billion by 2035.
    • This growth represents a compound annual growth rate (CAGR) of 18.57% from 2025 to 2035.
    • The increasing demand for energy-efficient solutions is driving the adoption of modular data centers across Europe.
    • Growing adoption of cloud computing due to the need for scalable infrastructure is a major market driver.

    Market Size & Forecast

    2024 Market Size 3.24 (USD Billion)
    2035 Market Size 21.1 (USD Billion)
    CAGR (2025-2035) 18.57%

    Major Players

    Vertiv, Huawei Technologies, Cannon Technologies, Rittal, Cisco Systems, Eaton Corporation, IBM, Dell Technologies, Schneider Electric, Hewlett Packard Enterprise

    Europe Modular Data Center Market Trends

    The increasing need for scalable and adaptable data solutions is behind the substantial growth in the European modular data center market. The growing demand for energy-efficient data centers as Europe concentrates on reaching sustainability goals and cutting carbon emissions is one of the main market drivers.

    Data center infrastructure that can swiftly and effectively adjust to shifting demands is becoming increasingly important as companies move to cloud computing and digital services. European nations are prioritizing sustainable technology and energy efficiency, which is fostering a supportive regulatory climate for modular solutions.

    In Europe, opportunities are growing, especially in confined metropolitan spaces. Rapid deployment of modular data centers reduces the need for large-scale construction and enables businesses to react quickly to data demands.

    Prefabrication and transportable designs are becoming increasingly popular in the European market, which lowers deployment times and overall expenses. Modular data centers are becoming more and more appealing thanks to advancements in energy management and cooling technology.

    Overall, flexibility, sustainability, and the continuous adoption of new technologies have defined the development of the European modular data center market, meeting the varied demands of numerous industries around the continent.

    Market Segment Insights

    Europe Modular Data Center Market Segment Insights

    Europe Modular Data Center Market Segment Insights

    Modular Data Center Market Component Insights

    Modular Data Center Market Component Insights

    The Component segment of the Europe Modular Data Center Market showcases a vital aspect of the industry's evolution, focusing on Functional Modules and Services. The demand for Modular Data Centers in Europe is driven by the increasing need for scalable, flexible, and efficient solutions to meet the rising digital transformation and cloud computing trends.

    Functional Modules, including power distribution, cooling systems, and IT racks, play a crucial role in enhancing the operational efficiency of data centers, allowing operators to optimize resource usage and reduce energy consumption.

    This segment has rapidly gained traction in Europe due to stringent regulations addressing energy efficiency and sustainability, further driving the growth of modular solutions. Furthermore, Services associated with Modular Data Centers are indispensable in ensuring the smooth operations of these facilities.

    This includes installation and integration, maintenance, and support services that are tailored to the specific needs of businesses. As organizations prioritize uptime and reliability, the demand for comprehensive service packages continues to grow, supporting their overall operational resilience.

    Modular Data Center Market Data Center Size Insights

    Modular Data Center Market Data Center Size Insights

    The Europe Modular Data Center Market shows significant growth driven by various factors, particularly within the Data Center Size segment, which includes Mid-Sized and Large Enterprise categories.

    Mid-Sized modular data centers are gaining traction as organizations seek balance in cost efficiency and scalability, catering to medium businesses that require adaptable solutions without heavy capital investment.

    Meanwhile, the Large Enterprise segment is characterized by its dominance in market share as larger corporations leverage expansive modular infrastructures to support vast data requirements, improve operational agility, and enhance resilience.

    The increasing need for data processing capacity due to advancements in cloud computing, IoT, and big data analytics fuels the adoption of these modular solutions across Europe. Moreover, favorable government policies towards sustainability and energy efficiency are pushing enterprises to consider modular options, ensuring they can meet current demands without jeopardizing environmental goals.

    Modular Data Center Market Tier Type Insights

    Modular Data Center Market Tier Type Insights

    The Europe Modular Data Center Market is characterized by its distinct Tier Type segmentation, which plays a crucial role in defining the infrastructure quality and availability of services. Tier 4 data centers, recognized for their high redundancy and resilience, are increasingly sought after in Europe, primarily due to the strict regulatory compliance and critical uptime requirements faced by enterprises.

    Meanwhile, Tier 3 data centers offer a balance of performance and cost-effectiveness, being a popular choice among organizations looking for reliable yet efficient solutions. Tier 2 and Tier 1 facilities cater to smaller businesses and regional operations that may prioritize cost savings over extensive redundancy.

    The growing trend towards digital transformation across various industries in Europe has further fueled the demand for diverse Tier Type solutions, enabling businesses to align their IT infrastructure with their strategic objectives. Factors such as increasing data generation, the rise of cloud computing, and the need for scalable solutions contribute to the ongoing evolution of the Europe Modular Data Center Market.

    Modular Data Center Market End User Insights

    Modular Data Center Market End User Insights

    The Europe Modular Data Center Market, particularly within the End User segment, showcases a robust framework driven by diverse industries, including Banking, Financial Services, and Insurance (BFSI), Information Technology (IT) and Telecom, as well as Healthcare.

    The BFSI sector significantly leverages modular data centers to enhance security and operational efficiency while managing vast amounts of transactional data. It is essential for maintaining compliance and ensuring system resilience against cyber threats.

    In the IT and Telecom industry, the demand for scalable and flexible infrastructure is paramount, with modular solutions allowing for rapid deployment and adaptability to fluctuating service demands, which aligns with the industry's focus on innovation and cutting-edge technologies.

    Meanwhile, the Healthcare sector places a strong emphasis on data management and real-time access to critical patient information, making modular data centers vital for improving care delivery and operational workflows.

    Get more detailed insights about Europe Modular Data Center Market Research Report-Forecast to 2035

    Regional Insights

    The Europe Modular Data Center Market is experiencing considerable growth across various countries, with regions such as Germany and the UK leading the way. Germany is recognized for its advanced infrastructure and high demand for data processing capabilities, positioning it as a dominant force in the market.

    Similarly, the UK benefits from strong investments in technology and government initiatives promoting digital transformation, making it a crucial market for modular solutions. France follows with a significant focus on sustainability and energy efficiency, while Russia's growing IT sector is contributing to its market potential.

    Italy and Spain are also enhancing their digital landscapes, which is vital for the overall growth in the region. Collectively, these countries showcase unique opportunities for innovation, efficiency, and scalability, driving the adoption of modular data centers across Europe.

    The growing trend of cloud computing and data center consolidation presents further potential for this market segment, as businesses in these regions increasingly seek flexible and cost-effective solutions to meet their data demands.

    As the Europe Modular Data Center Market evolves, regional dynamics and varying demands will shape its future trajectory, overall impacting Europe Modular Data Center Market revenue and statistics.

    Europe Modular Data Center Market Region

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Key Players and Competitive Insights

    The Europe Modular Data Center Market is characterized by a dynamic landscape driven by rapid technological advancements and the increasing demand for scalable, efficient, and flexible data center solutions.

    As the digital transformation accelerates across various sectors, organizations across Europe are increasingly adopting modular data centers to meet their growing computational and data storage needs.

    This market is becoming highly competitive, with numerous players striving to carve out their niche by specializing in innovative designs, energy-efficient solutions, and bespoke offerings tailored to regional requirements.

    Companies are leveraging strategic partnerships, mergers, and technological innovations to enhance their market presence while addressing the unique challenges posed by local regulations and sustainability goals.

    Vertiv has established a significant presence in the Europe Modular Data Center Market by focusing on providing robust, reliable, and customizable solutions. The company excels in delivering integrated solutions that encompass power, cooling, and management systems, which cater specifically to the needs of modular data centers.

    Vertiv’s strengths lie in its extensive portfolio of advanced technologies and services that ensure optimal performance and energy efficiency. The company is recognized for its agility and responsiveness to market demands, allowing it to implement cutting-edge solutions rapidly.

    Furthermore, Vertiv's commitment to sustainability has resonated well with European clients, positioning it as a preferred partner for enterprises looking to optimize their operational efficiency while minimizing their environmental footprint.

    Huawei Technologies has carved out a formidable foothold in the Europe Modular Data Center Market through its focus on innovation and comprehensive product offerings. Huawei's modular data center solutions encompass a range of products that include containerized data centers, energy management systems, and infrastructure management software.

    The company has leveraged its global expertise to establish a strong presence across various European countries, supported by its dedication to high performance, reliability, and energy efficiency. Huawei’s strengths are underscored by significant investments in research, development, and strategic partnerships that enable it to deliver tailored solutions to its customers.

    The company has also explored mergers and acquisitions to enhance its market position and technology capabilities in Europe, allowing it to offer cutting-edge solutions backed by extensive local knowledge and support, thereby meeting the diverse needs of enterprises operating in this region.

    Key Companies in the Europe Modular Data Center Market market include

    Industry Developments

    In order to provide AI and IOT workloads with low latency and high reliability through standardized micro-modular deployments, Schneider Electric and NTT Data introduced a first-of-its-kind co-innovation in May 2024 that integrates Edge, Private 5G, IoT, and modular data centers.

    In order to address the growing demand for edge-deployed and AI-ready infrastructures, Schneider substantially increased the capacity of its flagship EcoStruxure Modular Data Centre manufacturing facility in Barcelona in November 2024, nearly doubling it from 7,000 m² to 12,000 m².

    Vertiv unveiled their MegaMod CoolChip prefabricated modular data center in September 2024. their fast factory assembly and direct-to-chip liquid cooling can cut the deployment time of AI infrastructure by up to 50%.By acquiring CoolTera Ltd. in June 2024, Vertiv strengthened its thermal leadership even more, allowing for improved liquid cooling capabilities in high-density European installations.

    At Data Center World Frankfurt in June 2025, Eaton Corporation, Siemens Smart Infrastructure, and Legrand Data Center Solutions collaborated to present a modular edge data center prototype that featured AI-optimized power and cooling controls, modular enclosures, and integrated automation.

    With a focus on sustainability, edge deployment, AI compute readiness, and standardized factory-scale infrastructure, these advancements highlight how Vertiv, Schneider Electric, Eaton, Rittal, Dell, IBM, Huawei, Cisco, and Cannon Technologies are improving the modular data center landscape in Europe.

    Market Segmentation

    Modular Data Center Market End User Outlook

    • Germany
    • UK
    • France
    • Russia
    • Italy
    • Spain
    • Rest of Europe

    Modular Data Center Market Regional Outlook

    • Germany
    • UK
    • France
    • Russia
    • Italy
    • Spain
    • Rest of Europe

    Modular Data Center Market Component Outlook

    • Mid-Sized
    • Large Enterprise

    Modular Data Center Market Tier Type Outlook

    • BFSI
    • IT and Telecom
    • Healthcare

    Modular Data Center Market Data Center Size Outlook

    • Tier 4
    • Tier 3
    • Tier 2
    • Tier 1

    Report Scope

     

    Report Attribute/Metric Source: Details
    MARKET SIZE 2023 2.74(USD Billion)
    MARKET SIZE 2024 3.24(USD Billion)
    MARKET SIZE 2035 21.09(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 18.565% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Vertiv, Huawei Technologies, Cannon Technologies, Rittal, QTS Realty Trust, Cisco Systems, Eaton Corporation, MSI Data Centers, Modular Datacenter, Synnex Corporation, IBM, Dell Technologies, Schneider Electric, Hewlett Packard Enterprise
    SEGMENTS COVERED Component, Data Center Size, Tier Type, End User, Regional
    KEY MARKET OPPORTUNITIES Rapid urbanization demand, Rising energy efficiency initiatives, Increasing need for scalable solutions, Expansion of cloud services, Enhanced focus on sustainability
    KEY MARKET DYNAMICS scalability and flexibility, cost efficiency, energy efficiency, rapid deployment, increasing demand for data centers
    COUNTRIES COVERED Germany, UK, France, Russia, Italy, Spain, Rest of Europe

    FAQs

    What is the expected market size of the Europe Modular Data Center Market in 2024?

    The Europe Modular Data Center Market is expected to be valued at 3.24 USD Billion in 2024.

    What will be the market size of the Europe Modular Data Center Market by 2035?

    By 2035, the market size of the Europe Modular Data Center Market is projected to reach 21.09 USD Billion.

    What is the expected CAGR for the Europe Modular Data Center Market from 2025 to 2035?

    The expected CAGR for the Europe Modular Data Center Market from 2025 to 2035 is 18.565 percent.

    Which region is anticipated to have the largest market share in the Europe Modular Data Center Market in 2024?

    Germany is anticipated to have the largest market share in the Europe Modular Data Center Market, valued at 1.05 USD Billion in 2024.

    How much will the UK contribute to the Europe Modular Data Center Market by 2035?

    The UK is expected to contribute approximately 5.55 USD Billion to the Europe Modular Data Center Market by 2035.

    What are the values of the Functional Module and Services segments in 2024?

    The Functional Module segment is valued at 1.3 USD Billion, while the Services segment is valued at 1.94 USD Billion in 2024.

    Which major players are competing in the Europe Modular Data Center Market?

    Key players in the market include Vertiv, Huawei Technologies, Cannon Technologies, and Rittal among others.

    What is the market size for France in the Europe Modular Data Center Market in 2024?

    The market size for France in the Europe Modular Data Center Market is 0.72 USD Billion in 2024.

    What is the forecasted market value for the Services segment by 2035?

    The forecasted market value for the Services segment in the Europe Modular Data Center Market is 12.66 USD Billion by 2035.

    How much is the Russia segment expected to be worth in 2035?

    The Russia segment of the Europe Modular Data Center Market is expected to be worth approximately 4.17 USD Billion by 2035.

    Europe Modular Data Center Market Research Report-Forecast to 2035 Infographic
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