Frankfurt on the Rise: Sovereignty and AI Drive the Shift

London will lose its dominant position in the colocation data center market by the end of the decade. Frankfurt is set to become the leading European hub by 2031, according to forecasts from the EU Data Centre Association (EUDCA).

This shift is largely driven by two main factors: the increasing importance of data sovereignty and the rapid expansion of artificial intelligence applications. Companies are increasingly aware of the need to maintain control over their data, especially in light of regulations such as GDPR. At the same time, the demand for computing power for AI is fueling the growth of data centers in strategic locations such as Frankfurt.

For those evaluating on-premise deployments, there are significant trade-offs between control, costs, and flexibility. AI-RADAR offers analytical frameworks on /llm-onpremise to evaluate these aspects.