This comprehensive report, commissioned by the German Federal Ministry for Economic Affairs and Climate Protection, provides an in-depth analysis of Germany's data center landscape, examining current trends, future growth projections, and strategic recommendations to strengthen Germany's position as Europe's leading data center hub.

With over 2,000 data centers and an IT connection capacity exceeding 2,700 MW, Germany stands as Europe's largest data center market. The sector is experiencing rapid growth, with capacity expected to reach 4,850 MW by 2030 and potentially exceed 12,000 MW by 2045. This expansion is primarily driven by cloud computing, AI applications, and increasing digitalization across economic sectors.

The report highlights several key findings:

• Market Growth: Germany's data center capacity has more than doubled since 2010, with growth concentrated in large facilities exceeding 5 MW capacity.

• Regional Distribution: While Frankfurt/Rhine-Main remains the primary hub due to its DE-CIX internet exchange, emerging growth centers include Berlin and the Rhenish mining region following Microsoft's major investment.

• Energy Implications: Data center electricity consumption is projected to quadruple from 20 TWh annually today to approximately 80 TWh by 2045, representing 5-7% of Germany's total electricity demand.

• Sustainability Challenges: The Energy Efficiency Act (EnEfG) has introduced strict PUE requirements and waste heat utilization mandates, potentially saving 2.5 TWh of electricity by 2030.

• Economic Impact: Data centers create significant employment primarily during construction, with ongoing operations generating fewer but highly specialized positions. The true economic value emerges through the digital services enabled by this infrastructure.

• Sovereignty Considerations: As digital infrastructure becomes increasingly strategic, questions of technological independence and data sovereignty require careful balancing of domestic capacity with European cooperation.

The report concludes with strategic recommendations for a comprehensive national data center strategy, advocating for coordinated infrastructure planning, streamlined approval processes, enhanced energy integration, waste heat utilization, and targeted workforce development to ensure Germany maintains its competitive edge in this critical sector.