Host in Ireland Releases Q1 Update for Ireland
DUBLIN, IRELAND — Host in Ireland has released its Q1 Update for the Ireland Data Hosting Industry, which highlights the unprecedented levels of inward investment from the data centre industry since 2009, holding firm at €1.3 Billion per annum. This trend is having transformational effects on Ireland in terms of direct and indirect labour and the continued growth of digital exports.
“The data centre industry is off to a strong start in 2019 according to our latest Quarterly Report and recent announcements,” writes Garry Connolly, Founder and CEO of Host in Ireland. in the report’s Foreword. “These are unprecedented levels of investment. To put the level of spending into context, the level of investment into data centres in Ireland is the equivalent of building the proposed Metro (€3bn) and Dart Underground (€4bn) (€4bn) and the recently announced rural broadband scheme (€3bn).”
Other key highlights from the report include:
- Growth of the data hosting sector continued in 2018, with investment totalling €1 billion through the year. Each incumbent operator completed a new facility or received planning permission for future developments. New entrants to the Irish market also progressed plans through planning.
- There are 53 data centres in Ireland, with 600 MW of grid-connected power capacity. The Dublin Metro area remains the focus.
- While Hyperscale remains the dominant data centre type, with 72% of capacity, the colocation wholesale market has grown from almost zero to 13% in the past 3 years.
- On the Hyperscale front, Facebook opened its facility in Clonee and announced further investment. Google announced plans for expansion in Dublin. Microsoft ramped up construction in Grange Castle. Amazon Web Services built new facilities in Clonshaugh and Tallaght and received planning approval for additional sites.
- Regarding the colocation wholesale market, CyrusOne announced a new campus in Grange Castle. Crag Digital (Echelon) received planning for a new development in Clondalkin. Their proposed Arklow facility is also at planning application stage, with a decision due in Q1 2019. The Citywest Limited proposed facility received planning permission in December. A new 16 MW facility entered the planning process in Clonshaugh in Q1.
“Last quarter it was revealed that Dublin is now the largest market for data centres accounting for 25% of the European marketplace. This quarterly update highlights that Ireland will continue to see direct investment grow in the data centre sector which indirectly supports growth in the overall ICT sector unpinning more than 100,000 jobs,” continued Connolly. “In support of this growth we need sustainable solutions and we were delighted to see the Irish Government increase its renewable energy target to 70% in line with the recent renewable energy campaign of which Host In Ireland were a part of.”
“The data centre industry remains a strong renewable first advocate. There have been several good news announcements with respect to renewable energy this quarter. They include a €1.5bn investment from Statkraft to construct a series of windfarms around Ireland. However, the most significant is Amazon’s decision to invest almost €200m in the construction of a windfarm off Donegal without subsidies, the first of its kind in Ireland,” he concludes.