Market growth and usage trends
Global connectivity has reached a tipping point with an estimated 5.5 billion people online in 2024, an increase of 227 million individuals according to the International Telecommunication Union. The volume of data created each day now totals approximately 402.74 million terabytes, with projections indicating a rise to 181 zettabytes over the course of the year.
The global hyperscale data centre market is responding to meet demand, with projected annual growth of 10% through 2030 and construction spending expected to reach $6.7 trillion. Energy requirements parallel the scale of operations and worldwide consumption by data centres is set to more than double to approximately 945 terawatt-hours (TWh) within the next decade.
As companies find themselves outgrowing their existing computing infrastructure at an accelerated pace, hyperscale data centres represent the solution to bridge this infrastructure gap.
What is a hyperscale data centre?
The digital transformation has created an unprecedented demand for computing power, leading to the emergence of hyperscale data centres that form the backbone of our connected world. Hyperscale facilities represent a fundamental evolution in data centre design due to their massive scale and sophisticated architecture to support the computing needs of billions of users worldwide.
Data centre size classifications: understanding the spectrum
To truly appreciate what makes hyperscale facilities remarkable, we must first understand how data centres are classified based on size and capacity. Data centre categorisation helps to illustrate the dramatic differences in scale across the industry.
They represent the smallest category, typically serving single companies or remote offices. Such installations contain 10 server racks or fewer, accommodating approximately 140 servers within less than 5,000 square feet of space. Energy consumption remains modest at under 100-150 kilowatts, making micro facilities suitable for localised computing needs.
They are considerably larger, requiring 5,000 to 20,000 square feet of space to host anything between 500 and 2,000 servers. Power requirements jump to 1-5 megawatts to cater for the increased computing capacity and cooling demands. Organisations often use small data centres for regional operations or specific business applications.
They occupy the middle ground with 2,000 to 5,000 servers spread across 20,000 to 100,000 square feet. Energy consumption can reach approximately 100 megawatts to support substantial computing workloads for enterprise operations. Average facilities are an effective way to serve many traditional business computing requirements.
They dwarf all other categories, requiring at least 5,000 servers and 10,000 square feet of physical space, though most installations far exceed those minimum thresholds. Power consumption exceeds 100 megawatts, with many facilities drawing several hundred megawatts or even gigawatts of electricity.
- Scale and capacity requirementsHyperscale data centres operate on an entirely different magnitude compared to traditional facilities. Computing capacity in hyperscale environments typically ranges from 30 to 150 megawatts of IT power, with some installations extending far beyond those parameters. Major technology companies such as Google, Amazon Web Services and Meta rely on hyperscale infrastructure to deliver their cloud services, social media platforms and artificial intelligence applications to global audiences.
- Architectural innovation and scalabilityScalability is the defining characteristic of hyperscale design. Data centre solutions design facilities so that they can expand seamlessly without service interruption or a reduction in performance. Virtualisation technology allows each virtual machine to operate independently, adding flexibility and robustness across these enormous computing environments. Such architectural approaches make it possible to rapidly expand capacity while maintaining operational stability.
- Energy optimisation and sustainabilityIn hyperscale operations, power management takes centre stage. Advanced cooling systems and power distribution networks achieve Power Usage Effectiveness (PUE) ratings near 1.1, indicating that almost all consumed energy directly powers computing equipment rather than supporting infrastructure. Environmental considerations also drive continuous innovation in energy optimisation, with facilities incorporating renewable energy sources and advanced thermal management systems.
- Operational advantagesSpace utilisation in hyperscale environments aims to maximise computing density while minimising physical footprint. Furthermore, standardised hardware configurations and automated management systems reduce operational complexity and maintenance requirements. Such optimisation creates both economic advantages and environmental benefits compared to traditional data centre models.
- Market impact and future developmentGrowing demand for cloud computing, artificial intelligence and Internet of Things applications continues to drive hyperscale expansion. Construction companies specialising in data centre development report delivering hundreds of thousands of square metres of IT space annually, supporting the infrastructure needs of digital transformation across various industries.
How hyperscale data centres operate at scale
All data centres, including hyperscale facilities, are built upon the concept of virtualisation. Virtualisation uses software to create an abstraction layer over physical hardware, enabling the division of a single computer's resources into multiple virtual machines (VMs). Each VM functions as an independent entity with its own operating system, despite being hosted on a portion of the physical hardware. This technology is pivotal for cloud computing, as it allows for the efficient utilisation of resources across a vast network of machines.
What distinguishes hyperscale data centres from their traditional counterparts is their immense scale. These facilities are designed to accommodate an extraordinary amount of infrastructure – typically housing at least 5,000 servers and vast amounts of networking equipment. Consequently, hyperscale data centres can span millions of square feet, providing the space necessary to support such a massive setup.
Another essential feature of hyperscale data centres is redundancy. Redundancy refers to the integration of backup systems or devices that automatically engage in the event of a failure, whether it be hardware malfunction or power cut. This aspect is particularly critical in hyperscale environments, where operations are highly automated and run continuously, often with minimal direct supervision. The inherent need for uptime means that these centres are designed to seamlessly recover from potential disruptions, ensuring they remain operational around the clock.
Key deployment options
When it comes to hyperscale data centre deployment, organisations have to make several important choices that will determine the way their resources are allocated and what operations may look like going forward. The most fundamental decision is whether to opt for an ownership or rental model, with each presenting their own distinct advantages and constraints.
Building a dedicated hyperscale facility requires substantial capital investment and labour. However, it enables complete customisation to align with specific organisational requirements. Each component can be optimised for particular workloads and operational patterns. Furthermore, the organisation gains total control over infrastructure design, cooling systems and the potential for expansion.
Colocation offers an alternative approach with reduced financial barriers. Organisations rent space within existing facilities, eliminating construction costs and maintenance responsibilities. The trade-off involves accepting standardised configurations that might not coincide with ideal specifications. While mobility increases and upfront investments decrease, customisation options remain limited.
Public cloud migration offers another pathway that is particularly attractive for organisations seeking unlimited scalability without needing to invest in hardware. Solutions like Microsoft 365 or Google Suite provide immediate access to enterprise-grade infrastructure without the need to manage physical facilities. The subscription model transforms capital expenditure into operational expense while maintaining access to cutting-edge technology.
Modular data centres represent a hybrid solution, combining pre-engineered components with deployment flexibility. These facilities arrive equipped with cooling systems and essential infrastructure, enabling rapid deployment while maintaining the potential for customisation. Organisations benefit from reduced implementation timelines and the ability to test data centre operations before committing to larger investments.
Each approach requires careful evaluation against organisational growth projections, budget constraints and operational requirements to ensure optimal alignment.
Data centre challenges: regulatory and ESG drivers
The European data centre landscape finds itself at an inflection point where environmental imperatives intersect with commercial realities. Environmental, Social and Governance (ESG) priorities have emerged as central considerations for operators and are driving significant changes in how facilities are designed, built and operated.
Stringent regulatory framework
European legislation has established demanding energy efficiency standards that operators must meet. The new German Energy Efficiency Act sets a particularly ambitious target, requiring all new data centres to achieve a Power Usage Effectiveness (PUE) of 1.2 or below by 2026. This represents one of the most aggressive efficiency mandates globally and reflects the urgency of climate action.
The European Union's broader regulatory approach includes mandatory energy reporting requirements for installations exceeding 500 kW capacity. The amended Energy Efficiency Directive, which took effect in October 2023, strengthens these obligations, while the Corporate Sustainability Reporting Directive (CSRD) demands comprehensive disclosure of environmental impact metrics. These rules aim to increase transparency around emissions and help investors evaluate the sustainability performance of company operations.
Industry self-regulation initiatives
Beyond government mandates, the sector has embraced voluntary standards through the Climate Neutral Data Centre Pact (CNDCP). This collaborative initiative began with 25 European cloud and colocation providers but has expanded to include 81 operators and 27 associations, representing over 90% of the regional data centre market.
The CNDCP sets out comprehensive targets across multiple areas. For energy efficiency, new data centres in cool climates must achieve an annual PUE of 1.3 by January 2025, while facilities in warm climates have a 1.4 target. Existing installations have until 2030 to meet these standards. The pact also requires 75% renewable energy matching by late 2025, progressing to 100% carbon-free electricity by 2030.
Operational transformation requirements
Water conservation has become another critical focus area. The pact requires operators to set water usage effectiveness (WUE) targets, with new facilities required to meet these standards by 2025 and existing ones by 2030. The directive also extends to circular economy practices, requiring 100% assessment of used server equipment for reuse, repair or recycling opportunities.
Heat recovery presents additional opportunities and obligations. Operators must explore connections with district heating systems and evaluate whether captured heat from new installations could serve nearby users in environmentally sound and cost-effective ways.
Geographic and economic pressures
The enormous power requirements of modern data centres create geographic constraints that complicate expansion plans. Companies must balance multiple factors including electricity pricing, renewable energy availability, grid stability and climate resilience. Many organisations are exploring secondary markets with robust power supplies while investigating on-site energy generation to overcome grid constraints.
The drive toward sustainability has prompted major technology companies to commit to comprehensive renewable energy adoption. Apple exemplifies this approach, having powered all its data centres exclusively through renewable sources since 2014, utilising combinations of biogas fuel cells, hydropower, solar and wind generation.
These regulatory and ESG drivers require substantial capital investment, operational changes and long-term planning that will define the industry's trajectory for decades ahead.
Equans' technological edge
The company’s strength lies in its global scale and local precision. As the world's second-largest energy and services provider with nearly 90,000 employees, Equans combines operational teams located close to customers with hyper-specialised mobile teams that deliver specific solutions at a global scale. Our six main areas of expertise include electrical solutions and services, supported by an international presence and extensive customer portfolio across industry, tertiary businesses, cities and inter-cities.
European leaders
Equans operates across eight European countries, spanning Austria, Belgium, France, Germany, Italy, Netherlands, Switzerland and the United Kingdom. For over 25 years, we have accumulated extensive expertise in developing hyperscale data centres, delivering more than 300,000 square metres of IT space and exceeding 500 megawatts of IT power capacity.
The scale of individual projects demonstrates Equans' versatility. VIRTUS Stockley Park Campus in London encompasses 37,000 square metres of data halls with 86 megawatts of IT power capacity. Digital Realty PAR12 in Paris delivers 12 megawatts across 5,500 square metres, while Interxion MRS3 in Marseille provides 16.6 megawatts within 6,900 square metres of data hall space.
From concept to reality
We take hyperscale data centre ideas and bring them to life. Our work spans from initial design through construction and commissioning, making sure projects hit their technical targets on time and within budget.
Equans thrives by blending global expertise with regional insights. Our local supply chains and on-the-ground knowledge ensure every project maintains high standards no matter where we are.
For decades, Equans has been at the forefront of major infrastructure projects, transforming bold digital concepts into the backbone of Europe’s commerce, communications and technology sectors.
