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[BUSINESS] · Germany · 34 sources

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Schwarz Group to invest 5.6 billion euros in German data center

The Schwarz Group, owner of Lidl and Kaufland, has announced a plan to invest up to 5.6 billion euros in a large-scale data center in Dummerstorf, near Rostock, in the German state of Mecklenburg-Western Pomerania. The project aims to bolster European digital sovereignty by providing a domestic alternative to US-based cloud providers such as Amazon Web Services and Microsoft Azure.

The facility is expected to reach a capacity of 240 megawatts by 2033, with the potential to expand to 1 gigawatt by 2045. Construction is scheduled to begin in 2027 and is anticipated to create 120 jobs. To ensure sustainability, the data center will utilize renewable energy sources and a closed-loop water cooling system. Additionally, discussions are underway to use excess heat from the facility for local residential heating.

This investment follows a similar 11-billion-euro project by the group in Brandenburg. The Schwarz Group's IT division, Schwarz Digits, reported a 16 percent revenue increase to 2.2 billion euros in the fiscal year ending February, driven by rising demand for cloud and cybersecurity services.

Entities

Dummerstorf · Gerd Chrzanowski · Kaufland · LIDL · Manuela Schwesig · Rostock · Schwarz Digits · Schwarz Group · Schwarz-Gruppe

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