# Italy AI Data Center Market > Italy AI Data Center Market: USD 698.87 million in 2026, USD 3.18 billion by 2035, 19.43% CAGR from 2025, as Terna's 50 GW grid queue meets AI demand. Publisher: DC Market Insights Author: Amit Jain, DC Market Insights Published: 2026-03-07 Last updated: 2026-10-21 Next review: Apr 2027 Page: https://www.dcmarketinsights.com/report/italy-ai-data-center-market ## Key takeaways - Microsoft's EUR 4.3 billion and AWS's EUR 1.2 billion fill Lombardy with AI regions - Hyperscale campuses of 300-400 MW move outside Milan's ring road - Terna's connection queue passed 50 GW against a 1.5-3 GW buildable outlook - Retrofits of existing Milan and Rome halls to AI densities **Frequently Asked Questions** **What is the size of the Italy AI Data Center Market in 2026?** USD 698.87 million in 2026, up 29.89% from USD 538.04 million in 2025, according to DC Market Insights estimates. The market is projected to reach USD 3.18 billion by 2035, a CAGR of 19.43% from 2025. **How fast is the Italy AI Data Center Market growing?** 19.43% a year from 2025 to 2035, after 84.86% a year in 2020-2025 from a small base. New AI IT capacity rises from 33 MW in 2025 to about 112 MW a year in 2030 as strategic campuses near Milan and at Trino open. **What does an AI data center megawatt cost in Italy?** USD 14.60 million per AI MW of facility content in 2025, before servers (DC Market Insights estimate): USD 5.15 million electrical, USD 4.75 million cooling, USD 4.00 million shell, fit-out and racks, and USD 0.70 million network fabric. **How much data center capacity does Italy have?** About 600-760 MW of IT load at the end of 2025, according to the Politecnico di Milano and the Italian Datacenter Association as reported. DC Market Insights estimates about 95 MW of it is AI-dense, rising to about 1,200 MW by 2035. **How many data center grid requests has Terna received?** More than 50 GW from over 300 projects by 30 June 2025, up from about 30 GW at the end of 2024, according to Terna. Most requests are in Lombardy, and Terna's reported outlook sees only 1.5-3 GW connected by 2030. **Which companies lead the Italy AI Data Center Market?** Five buyers, Microsoft, AWS, Google Cloud, Equinix and Data4, account for about 58% of 2025 spend (DC Market Insights estimate). Eni, CINECA, Domyn, Aruba, TIM Enterprise, Fastweb, Vantage and Digital Realty run or build other AI halls. **Which region leads AI data center spending in Italy?** North-West Italy, with USD 376.62 million or 70% of 2025 spend, led by Milan Metropolitan City at USD 215.21 million. The Islands grow fastest at 28.00% a year from a small base, driven by the 30 MW Sulcis campus in Sardinia. **Which data center projects has Italy declared strategic?** Seven programmes worth over EUR 25 billion by August 2026, according to the Council of Ministers. Named ones include K2 (about 400 MW), Cavour at Trino (300-400 MW), EdgeConneX (over 300 MW), Equinix (EUR 4 billion), MPX4 and Sulcis (about 30 MW). **How do Italian rules affect AI data centers?** 50 MW is the threshold: since April 2026, Law 49/2026 gives data centers one permit, decided by regions from 50 MW and by the environment ministry from 300 MW. Sites of 500 kW or more must also report PUE and other energy data under Legislative Decree 131/2024. **Why do Italy AI Data Center Market estimates differ?** USD 698.87 million in 2026 is the DC Market Insights figure for facility infrastructure only. Estimates that add GPU servers, cloud AI services, AI data management or software-defined data center software can be several times larger. ## Dataset | Series | Value | Unit | | --- | --- | --- | | Market size 2025 | 538.04 | USD million | | Revenue CAGR | 19.43 | % | | Market size 2035 | 3,180 | USD million | ## Frequently asked questions ### What is the size of the Italy AI Data Center Market in 2026? USD 698.87 million in 2026, up 29.89% from USD 538.04 million in 2025, according to DC Market Insights estimates. The market is projected to reach USD 3.18 billion by 2035, a CAGR of 19.43% from 2025. ### How fast is the Italy AI Data Center Market growing? 19.43% a year from 2025 to 2035, after 84.86% a year in 2020-2025 from a small base. New AI IT capacity rises from 33 MW in 2025 to about 112 MW a year in 2030 as strategic campuses near Milan and at Trino open. ### What does an AI data center megawatt cost in Italy? USD 14.60 million per AI MW of facility content in 2025, before servers (DC Market Insights estimate): USD 5.15 million electrical, USD 4.75 million cooling, USD 4.00 million shell, fit-out and racks, and USD 0.70 million network fabric. ### How much data center capacity does Italy have? About 600-760 MW of IT load at the end of 2025, according to the Politecnico di Milano and the Italian Datacenter Association as reported. DC Market Insights estimates about 95 MW of it is AI-dense, rising to about 1,200 MW by 2035. ### How many data center grid requests has Terna received? More than 50 GW from over 300 projects by 30 June 2025, up from about 30 GW at the end of 2024, according to Terna. Most requests are in Lombardy, and Terna's reported outlook sees only 1.5-3 GW connected by 2030. ### Which companies lead the Italy AI Data Center Market? Five buyers, Microsoft, AWS, Google Cloud, Equinix and Data4, account for about 58% of 2025 spend (DC Market Insights estimate). Eni, CINECA, Domyn, Aruba, TIM Enterprise, Fastweb, Vantage and Digital Realty run or build other AI halls. ### Which region leads AI data center spending in Italy? North-West Italy, with USD 376.62 million or 70% of 2025 spend, led by Milan Metropolitan City at USD 215.21 million. The Islands grow fastest at 28.00% a year from a small base, driven by the 30 MW Sulcis campus in Sardinia. ### Which data center projects has Italy declared strategic? Seven programmes worth over EUR 25 billion by August 2026, according to the Council of Ministers. Named ones include K2 (about 400 MW), Cavour at Trino (300-400 MW), EdgeConneX (over 300 MW), Equinix (EUR 4 billion), MPX4 and Sulcis (about 30 MW). ### How do Italian rules affect AI data centers? 50 MW is the threshold: since April 2026, Law 49/2026 gives data centers one permit, decided by regions from 50 MW and by the environment ministry from 300 MW. Sites of 500 kW or more must also report PUE and other energy data under Legislative Decree 131/2024. ### Why do Italy AI Data Center Market estimates differ? USD 698.87 million in 2026 is the DC Market Insights figure for facility infrastructure only. Estimates that add GPU servers, cloud AI services, AI data management or software-defined data center software can be several times larger. ## How to cite Data Center Market Research & Consulting | DC Market Insights, "Italy AI Data Center Market", updated 2026-10-21, https://www.dcmarketinsights.com/report/italy-ai-data-center-market