Insights into Data Centre Investment & Market Growth

UK data centre lighting market to reach £130m

The UK data centre lighting market is projected to reach around £130 million by 2030, more than doubling from approximately £54 million in 2024, according to UK commercial lighting manufacturer Whitecroft Lighting. As the UK has become a major location for European data centre development, the company notes there has been an increasing demand for lighting and mechanical and electrical (M&E) infrastructure. Data centre lighting currently represents around 6% of the UK commercial lighting market. Based on the projected 2030 market value, this could rise to around 14%, exceeding the shares attributed to commercial offices and entertainment and leisure lighting (both at 13%) and education lighting (at 11%). Whitecroft estimates that the wider market will grow from £13 billion to £32 billion over the next four years, with the expansion of AI contributing to demand. “The unprecedented growth of the UK data centre market presents both big opportunities and challenges to lighting manufacturers,” says Richard Williams, Head of Strategic Projects at Whitecroft Lighting. “It’s impossible to ignore a growing £32 billion market on your doorstep. To put that in perspective, the entire capital investment budget for NHS estates is around £10 billion this year. “However, data centres present a unique environment, both in their complexity and scale, with developers facing systemic challenges, such as access to the grid and renewable energy, technical resilience, and access to water for cooling all taking precedence over more traditional construction and M&E.” Data centre projects create larger lighting contracts Richard explains that the value of data centre lighting relative to construction costs is lower than in typical commercial buildings. He continues, “As a result, Whitecroft’s Strategic Projects team have calculated that the value of data centre lighting, when compared to the overall cost of construction, is 60% lower than for a typical commercial building. “However, such is the size of the latest multi-billion-pound hyperscale data centres that larger manufacturers, such as Whitecroft Lighting, can offset this by fulfilling big, varied contracts.” Whitecroft says it has increasingly focused on large infrastructure projects where security and resilience are key considerations. In 2022, it secured a contract to design and manufacture LED lighting for Hinkley Point C, supplying 40,000 luminaires. The company also supplied £3 million of lighting for Manchester Airport’s Terminal 2 redevelopment, providing 25,000 lights. Whitecroft has since secured contracts to supply lighting for two data centres, one in Portugal and another near Frankfurt, Germany. The company is one of 13 specialist lighting brands within the European Fagerhult Group. Several brands within the group are collaborating on data centre projects across Europe, including Veko Lightsystems in the Netherlands.

Colt DCS appoints new CEO

Colt Data Centre Services (Colt DCS), a hyperscale and colocation data centre operator, has appointed Quy Nguyen as CEO, effective immediately. He has served as Acting CEO since April 2026, following the retirement of Niclas Sanfridsson. Quy joined Colt DCS in 2016 and has held senior leadership positions across sales and marketing, customer experience, design, and delivery. Most recently, he served as Chief Sales Officer, where he led the company’s commercial strategy and customer relationships. Before joining Colt DCS, Quy held senior roles spanning finance, strategy, and general management. As CEO, Quy will lead Colt DCS as it expands its global data centre platform. The company has nearly 800MW of capacity under development across global markets, with demand being driven by cloud adoption and the growth of AI workloads across Europe and Asia. Comments on the new appointment Tim Cohen, Chairman of Colt DCS, says, "Quy has demonstrated exceptional leadership during a period of significant growth and transformation for Colt DCS. "His deep understanding of our customers, our people, and our business, combined with his strategic vision and proven track record of execution, made him the outstanding choice to lead the company." Quy himself comments, "I am honoured to be appointed CEO of Colt DCS at such an exciting time for our company and industry. We have built a strong track record for delivering world-class digital infrastructure, fostering trusted customer relationships and executing ambitious growth plans across key markets. "I look forward to working alongside our talented teams around the world to build on our strong foundations, expand our global platform, and deliver long-term value for our customers, partners, and stakeholders." For more from Colt DCS, click here.

euNetworks sets new sustainability loan targets

euNetworks, a European bandwidth infrastructure company, has introduced two environmental performance targets through its Sustainability-Linked Loan (SLL), linking sustainability measures to the design and development of new network infrastructure. The revised framework introduces Network Development Impact by Design Plans for major network projects, alongside a target for continuous improvement in the company’s GRESB infrastructure benchmark score. euNetworks first established its €760 million (£650 million) SLL in 2021 to support the expansion of its fibre network across Europe. The facility was then refinanced and expanded to €1.26 billion (£1 billion) in 2024. The Impact by Design Plans will now apply to major projects requiring significant new network construction. These projects account for a large proportion of euNetworks’ annual capital investment and approximately two thirds of its current greenhouse gas emissions. The plans will assess lower-carbon materials, construction techniques, and supplier options during the design stage, before project specifications are finalised. The approach is intended to incorporate environmental considerations into commercial and engineering decisions alongside cost, delivery times, and customer requirements. New targets added to €1.26bn loan The GRESB target will measure continuous improvement against an infrastructure-focused benchmark covering governance, environmental management, and operational performance. Marisa Trisolino, CEO of euNetworks, says, “Our new SLL targets mark an important step in euNetworks’ commitment to growing our business sustainably, focusing our efforts on the areas where we can deliver the greatest impact. “The introduction of our NetDev Impact by Design Plans represents a significant evolution in how we approach major network development projects, embedding sustainability considerations from the very beginning of the design and planning process.” The targets complement euNetworks’ existing sustainability commitments, including its validated Science Based Targets, net zero by 2040 commitment, supplier engagement programme, and carbon measurement tools. For more from euNetworks, click here.

DataVita secures £300m for Scottish data centres

DataVita, a UK data centre and cloud services provider, has secured approximately £300 million in debt financing to expand its existing data centre and also build a second facility in North Lanarkshire’s AI Growth Zone, supported by a £202 million guarantee from the National Wealth Fund. The financing has been provided by ING, ABN AMRO, Santander, the Scottish National Investment Bank, and Siemens Financial Services through Siemens Bank. The National Wealth Fund guarantee covers £202 million of a £252.5 million lending tranche provided by ING, ABN AMRO, and Santander. Financing from the Scottish National Investment Bank and Siemens Financial Services is not covered by the guarantee. The investment will expand DataVita’s existing DV1 data centre and fund construction of DV3. Capacity at both facilities has been contracted to AI cloud provider CoreWeave under a 15-year lease agreement. The two projects are expected to create around 600 construction jobs and approximately 100 permanent skilled roles once completed. North Lanarkshire AI campus takes shape The developments are intended to form the first stage of a larger planned data centre campus in North Lanarkshire, following the site’s designation as Scotland’s first AI Growth Zone earlier this year. DataVita has operated in Scotland’s digital infrastructure sector for more than 10 years, providing data centre infrastructure, cloud services, and connectivity for customers including government bodies, local authorities, and universities. The project is the National Wealth Fund’s first support for domestic compute capacity and is intended to contribute to the UK Government’s Compute Roadmap and Scotland’s five-year AI strategy. Oliver Holbourn, CEO of the National Wealth Fund, says, “New compute capacity is key to unlocking the UK’s future, yet private finance can be difficult to secure for emerging infrastructure at this scale. The National Wealth Fund’s guarantee is helping address that gap, giving lenders the confidence to invest.” Danny Quinn, Managing Director at DataVita, comments, “There is plenty of talk about AI infrastructure just now. This project is being delivered: work is well advanced on site, every megawatt is contracted, and the first facility completes this year. “The UK needs its own AI capability, built here and run here, and we are grateful to the National Wealth Fund and our lenders for backing a project that is already delivering it.” UK AI Minister Kanishka Narayan adds, “The countries that build the infrastructure behind this technology will be the ones that attract investment, create jobs, and help shape the industries of the future.” The Scottish Government’s Economy Secretary Stephen Flynn suggests that the investment will contribute to more than 3,400 jobs and more than £8 billion in private investment associated with the North Lanarkshire AI Growth Zone. For more from DataVita, click here.

CBRE: AI demand drives record Europe data centre signings

Demand for AI-ready data centre capacity is increasing across Europe, with emerging AI infrastructure providers, often referred to as neoclouds, securing record levels of capacity. According to research from global commercial real estate services and investment firm CBRE, signings for AI-focused colocation capacity reached 420MW in the first half of 2026, compared with 89MW during the same period in 2025. Two thirds (66%) of the contracted capacity is expected to be delivered by data centre operators to neoclouds in the Nordic region, where lower-cost renewable power is more readily available. The increase in AI-related capacity signings indicates growing confidence amongst data centre operators and investors in the neocloud sector. CBRE says operators are finding ways to meet funding requirements when contracting with neoclouds, representing a shift from the more cautious investment environment seen two years ago. Operators have also adopted measures such as rental deposits and letters of credit on some transactions to reduce financial risk. Neoclouds secure capacity for AI workloads Andrew Jay, Head of Data Centre Solutions, Europe at CBRE, explains, “Neoclouds have emerged as viable occupiers who are taking capacity at scale in markets typically where lower-cost power is the norm. "It is a sign that many data centre providers are increasingly comfortable with the ambitions of neocloud providers and the financial structures that can be used to satisfy the funders.” Kevin Restivo, Director, European Data Centre Research at CBRE, adds, “The underlying demand for compute is immense. Several neocloud companies have emerged with investment-grade customers, enabling them to secure capacity and support the growing requirements of AI workloads. “As a result, we are seeing unprecedented growth in this segment with deployments in areas in parts of Europe where data centre development isn’t the norm.” For more from CBRE, click here.

CVC DIF to acquire German data centre operator

Global private markets manager CVC DIF has agreed to acquire a significant majority stake in Frankfurt-based colocation data centre operator firstcolo from Cube Infrastructure Managers. The investment will be made through DIF Value Add IV and is expected to close by the end of September 2026, subject to customary conditions. Founded in 2007, firstcolo operates two data centres in Frankfurt and provides colocation, dedicated cloud hardware, cloud, connectivity, and managed services to more than 350 enterprise customers. The company's existing facilities are described as near fully utilised and it is also developing FRA7, a new data centre in Rosbach, within the Frankfurt metropolitan region, which will provide 24MW of total gross capacity. The site has secured its power supply, required permits, and fixed-price construction arrangements. Firm tenant commitments are also in place for the facility. FRA7 is being developed in partnership with the regional utility provider, which will supply the facility's energy. Surplus heat from the data centre will be made available for the local district heating network. FRA7 forms first stage of expansion Following the acquisition, firstcolo intends to continue developing its enterprise data centre platform, with FRA7 forming part of its planned expansion in Frankfurt and other German data centre markets. The company will continue to be led by its existing management team, including CEO and co-founder Jerome Evans, COO and co-founder Nicolaj Kamensek, and CFO Dennis Bergfeld. Willem Jansonius, Managing Partner at CVC DIF and Co-Head of the DIF Value Add Strategy, comments, “firstcolo represents a rare opportunity to invest in a high-quality, founder-led colocation platform in an attractive and supply-constrained FLAP-D data centre market. The company combines a resilient, cash-generative existing business with a substantially de-risked expansion project.” Stefan Moosmann, Head of DACH at CVC DIF, adds, “firstcolo is a strong example of CVC DIF's local-for-local approach in action. The opportunity was sourced through our Frankfurt team's local network and developed in seamless collaboration with our pan-European digital infrastructure team.” Jerome Evans, CEO and co-founder of firstcolo, says, “FRA7 is more than a single data centre development; it is the first building block of a scalable, high-performance infrastructure platform designed to support the next generation of AI, cloud, and enterprise workloads in Germany.” Nicolaj Kamensek, COO and co-founder of firstcolo, concludes, “FRA7 is being designed as a highly efficient, AI-ready facility with the power, cooling, connectivity, and operational processes required for demanding high-density workloads.”

EdgeMode, BlackBerry to merge into BLACK AI

Data centre developer EdgeMode and investment firm BlackBerry Alternative Investment Fund (AIF) have signed a memorandum of understanding (MOU) outlining plans to merge and establish BLACK AI, a publicly listed AI infrastructure development platform. The proposed merger remains subject to final commercial terms, due diligence, definitive agreements, and customary closing conditions. The two organisations have worked together for almost 12 months and intend to combine EdgeMode's public company platform and AI infrastructure portfolio with BlackBerry AIF's experience in project development, renewable energy, infrastructure, and commercial execution. BLACK AI will initially focus on AI infrastructure projects in Spain and Panama, with plans to consider opportunities in additional international markets. Vision 2035 strategy BLACK AI's long-term strategy, Vision 2035, will focus on developing AI infrastructure projects, potentially monetising selected assets at the 'ready-to-build' stage, and progressing other projects through development and construction. The strategy also includes the potential to retain selected infrastructure assets as part of a portfolio intended to generate recurring cash flow. Charlie Faulkner, CEO of EdgeMode, comments, "What excites me most isn't the transaction itself; it's the partnership behind it. "Over the past year, Jose, Simon, and I have built enormous trust, respect, and friendship. The more we worked together, the more obvious it became that we weren't trying to build competing businesses; we were trying to build the same company. "Jose has assembled an outstanding team with exceptional technical and commercial expertise and, together, we believe we have the opportunity to build something truly special. "BLACK AI combines project development capability, strategic partnerships, and access to the public capital markets in a way that positions us to pursue a genuinely long-term vision. "AI infrastructure is one of the defining investment themes of our generation, and we believe BLACK AI has the opportunity to become a significant international platform over the decade ahead." Jose Mora, CEO of BlackBerry AIF, adds, "This partnership is built on a shared vision, complementary expertise, and a common ambition to build something exceptional. "By bringing together our development capability with EdgeMode's public-market platform, we believe BLACK AI will be well positioned to develop large-scale AI infrastructure across multiple international markets. "We believe speed, execution, and long-term thinking will define the winners in this industry and, together, we are creating a platform designed to achieve exactly that." For more from EdgeMode, click here.

AVK secures $1bn investment from Partners Group

AVK, a provider of power systems and electrical infrastructure for data centres, has secured an initial investment of more than $1 billion (£743 million) from global private markets investment firm Partners Group, which will take a majority stake in the UK-based power infrastructure company. The investment is intended to support AVK's expansion and fund the development of on-site power infrastructure for data centre operators under an 'energy as a service' (EaaS) model. Ben Pritchard will retain a significant shareholding and continue as Chief Executive Officer, alongside the existing leadership team. The investment is the first external funding round in AVK's 36-year history, with it continuing to supply prime, standby, and dispatchable power infrastructure for data centres and other critical applications. AVK says the funding will support its strategy of funding, developing, owning, and operating on-site power infrastructure, including microgrids, whilst the company currently has a pipeline of more than 2GW. Under the EaaS model, data centre operators can procure energy through power purchase agreements (PPAs), rather than directly funding and managing large-scale on-site energy developments. AVK's existing operations are supported by its manufacturing facility in Haydock, in the North West of England, and a workforce of nearly 400 people across 10 hubs in the UK and Europe. Ben Pritchard, Chief Executive Officer at AVK, comments, “Speed-to-power is now a defining opportunity for European data centre operators. Our new partnership with Partners Group will allow us to meet our customers exactly where the market demands. "From the moment we launched our first microgrid, we recognised the challenge and the opportunity facing developers and operators globally. By adding capital to our power solutions portfolio, we can turn speed-to-power from an ambition into action. "I am excited to lead AVK into this new chapter alongside Partners Group, leveraging the firm's deep operational expertise in the data centre sector and power markets.” Investment targets on-site power infrastructure Partners Group has already invested in decentralised energy and data centres in Europe, including the pan-Nordic data centre platform atNorth. It also has experience investing in behind-the-meter energy infrastructure for data centres in the USA. Nicholas Pepper, Managing Director, Infrastructure at Partners Group, notes, "AI is driving one of the largest infrastructure buildouts in decades, and access to power is becoming a defining constraint. This constraint and lengthening connection queues are critical bottlenecks to growth in the European data centre market, which on-site generation can alleviate by accelerating speed-to-power. "AVK, with its deep expertise, track record, and pan-European footprint, is well positioned to address this issue as a one-stop-shop for data centre power solutions. We see an exciting growth opportunity for AVK and we look forward to supporting the management team in its next chapter." Earlier in 2026, AVK energised a large-scale data centre microgrid at Pure DC's campus in Dublin. The company says the project was the first of its scale for a data centre microgrid in Europe. For more from AVK, click here.

Sharon AI signs $373m cloud agreement

Sharon AI, an Australian neocloud provider, has signed a five-year cloud computing agreement with a global artificial intelligence platform worth $373 million (£277 million). Under the agreement, Sharon AI expects to deploy cloud computing infrastructure across its AI facilities in Australia, with revenue expected to begin in the first quarter of 2027. The company says its total AI factory capacity remains at 132MW, with 120MW now contracted to end customers. It also plans to increase the number of NVIDIA GPUs across its AI factory platform from 62,000 to 64,000 by mid-2027. The initial deployment under the agreement is expected to use 2,048 NVIDIA Blackwell Ultra B300 GPUs. Further deployments may take place during the five-year agreement, subject to customer requirements and the contract terms. An expansion of Australian AI infrastructure capacity Sharon AI says the agreement will contribute to the expansion of AI compute capacity in Australia and support the development of domestic AI infrastructure. James Manning, co-founder and Chief Executive Officer of Sharon AI, comments, "This agreement represents an important milestone in the continued expansion of Sharon AI's customer base and contracted AI infrastructure capacity. "As organisations increasingly seek access to sovereign, high-performance AI compute, we remain focused on delivering scalable infrastructure that supports the evolving needs of AI platforms, enterprises, and governments. "We continue to see strong demand for AI infrastructure in Australia and across the Asia-Pacific region, and this agreement reflects our strategy of securing long-term customer commitments as we expand our AI factory platform." The company has said the agreement is also expected to support investment in Australian digital infrastructure and provide additional opportunities for businesses, researchers, and government organisations to access AI compute capacity domestically.

Yondr agrees deal for its UK hyperscale data centre

Yondr Group, a global developer, owner, and operator of hyperscale data centres, has agreed to sell a majority stake in one of its UK hyperscale data centre campuses to GLIL Infrastructure, retaining a minority ownership interest and the responsibility for operating the site. The transaction involves a campus in Slough comprising two operational hyperscale data centre buildings serving a hyperscale customer. Financial terms were not disclosed. Yondr says the agreement enables it to realise value from a completed asset whilst continuing to manage its day-to-day operations and retain a long-term interest in the campus. Aaron Wangenheim, Chief Executive Officer at Yondr, says, "This transaction represents another important milestone in Yondr's long-term growth strategy. Bringing GLIL on board as an investment partner allows us to realise value from a high-quality, stabilised asset while remaining invested in its future and continuing to operate the campus on behalf of our customer." Investment expands digital infrastructure portfolio For GLIL Infrastructure, the acquisition adds to its digital infrastructure investments, which include a stake in Cornerstone, the UK's largest mobile tower company. Lee Belfield, Investment Director at LPPI and GLIL Infrastructure, notes, "Digital infrastructure is increasingly fundamental to the UK's economy, and hyperscale data centres are critical to supporting growing demand for cloud services and artificial intelligence. "This investment reflects GLIL's strategy of partnering with high-quality operators to invest in essential infrastructure that delivers resilient, long-term value for our pension fund members. "Yondr has developed a high-quality asset with a strong operational track record, and we look forward to commencing a long-term partnership with the Yondr team." The transaction is expected to complete in the coming months, subject to customary closing conditions and regulatory approvals. RBC Capital Markets acted as Yondr's financial adviser, with Linklaters providing legal advice. GLIL Infrastructure was advised by Nomura, with Simpson Thacher & Bartlett acting as legal counsel. For more from Yondr Group, click here.