Greece Becomes a Major Tech and AI Hub with New Data Centers

The Rise of Greece in the Tech and Artificial Intelligence Sector

Greece is making significant strides in the technology and artificial intelligence (AI) sectors, with recent developments signaling its ambition to become a central hub in the Mediterranean for connectivity and data hosting. The spotlight is on the French technology firm Data4, which recently initiated a groundbreaking ceremony for the construction of two new data centers just outside Athens, marking its entry into the Greek market on November 19.

Impact on Greece's Digital Infrastructure

The establishment of these data centers is poised to enhance Greece’s digital infrastructure and align with the country’s goal of being a leader in technology and IT services.

• Government Support: Greek Prime Minister Kyriakos Mitsotakis attended the ceremony, highlighting the government’s commitment to supporting such initiatives that promise to drive digital transformation and foster innovation.
• Economic Boost: This investment not only aims to bolster the local economy but also enhances Greece’s global reputation as a tech hub and creates various opportunities for skilled technical workers.

First Steps in Data Center Development

The project includes the construction of two data center buildings, with the first one currently under construction, expected to be operational by the end of 2026 or early 2027. The second building's timeline will be contingent on market demand, as stated by Olivier Micheli, CEO of Data4.

Market Opportunities

Micheli emphasized that the demand for data hosting solutions is strong among local firms, drawing parallels with other European markets where Data4 operates. The Greek government's strategic push towards cloud and digital services is a significant advantage in attracting tech giants focused on AI and cloud development.

Investment Details and Future Prospects

This investment follows Data4's earlier announcement in September regarding its plans in Greece, which includes an estimated investment of 300 million euros for the initial two data centers. Should the market demand be met, there is potential for a further investment of between 450–500 million euros for a third data center.

A Trend Across Europe

Data4 is not alone in this expansion trend; major companies like Microsoft are also directing substantial investments into European data centers and AI projects. Earlier this year, Microsoft announced a $2 billion investment in AI data centers in Spain and has initiated similar projects in Greece, with ministerial approval obtained back in 2020.

Conclusion

Greece’s advancement in technology and artificial intelligence, bolstered by these investments in data center developments, looks to position the country as a key player within Europe’s digital landscape. As infrastructure evolves, the potential for tech growth, job creation, and increased global competitiveness will surely follow.