Key findings
We surveyed 475 executives from data centre operators and contractors across the UK and Europe to examine how the sector is experiencing construction supply chain risk. Here is what we found out:
Cloud and AI are driving demand for data centres in Europe.
Top drivers of demand in Europe:
Cloud
AI
more data centre capacity expected to be commissioned by operators in 2024 than they did last year
But growing construction supply chain risk jeopardises Europe's digital future.
expect the risk of supply chain disruption to grow in 2024
believe price increases will not return to pre-pandemic levels until 2026 or later
agree that supply chain shortages and disruptions will limit digitalisation in Europe in the next five years
Climate change and Europe’s regulatory response are among the greatest risks to the supply chain.
The most likely disruptions expected to the data centre construction supply chain are:
Increased environmental regulation
Disruptions from physical climate risk
Geopolitical disruption
Sustainability is a priority for data centre design – but action has been limited so far.
Data centre design priorities include:
Efficiency of power consumption
Reducing carbon emissions
Minimising embodied carbon
But fewer than half have adopted:
On-site renewable generation
Scrutinising suppliers’ climate performance
Measuring and reducing embodied carbon
Supply chain risk has placed the sector under strain.
of operators have reduced the number of planned data centres...
of contractors have turned down projects
Sharing risk offers a way forward.
of contractors and...
of operators have used contractual mechanisms to share risk
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