New Data Center Developments: February 2025New Data Center Developments: February 2025

We look at some of the latest data center developments announced over the past month.

James Walker, Senior Editor

February 6, 2025

6 Min Read
Image: CtrlSCtrlS has unveiled plans for a 40-acre, 600 MW data center in Hyderabad, India

The demand for new data centers isn’t showing any sign of slowing. With new projects announced each week, keeping track of the latest data center developments is not always easy.

To keep you informed about the latest data center news involving design, construction, and related developments, we bring you the highlights from the past month.

This curated selection will help you stay on top of the latest data center development news with ease.

Yondr Group has started construction of its first data center in Canada

North American Data Center Deals

Making good on predictions that 10 GW of new capacity will come online in 2025, the past month has brought a wave of fresh data center investment announcements.

You’d be hard-pressed to find anyone in tech who hasn’t heard about the $500 billion Stargate announcement. Unveiled on January 21, the initiative – backed by SoftBank, OpenAI, Oracle, and MGX, with Arm, Microsoft, and Nvidia as key partners – aims to develop AI infrastructure across the U.S. Plans include 10 data centers, with one already under construction in Texas, and the potential to expand to 20, according to Oracle CTO Larry Ellison.

In other hyperscale news, Meta Platforms said it will invest as much as $65 billion in projects related to AI in 2025. The plans include building a giant new data center and increasing hiring in AI teams, CEO Mark Zuckerberg said. Not long after the announcement, the company said its data center in Mesa, Ariz., is now online.

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Amazon is expected to spend 60% more than previously announced on a massive data center project in Mississippi, underscoring the escalating costs for AI infrastructure.

Clayco, a Chicago-based builder led by billionaire Bob Clark, is positioning itself to grab more of the boom in data centers. The company is starting a new unit called Clayco Compute to sharpen the focus on data centers and quantum computing projects. 

Deep Fission and Endeavour Energy have partnered to develop 2 GW of nuclear power for AI-ready data centers, using Deep Fission’s borehole-based SMR technology.

In other news, Newmark has arranged $2.3 billion in financing for a 206 MW data center in Abilene, Texas, on behalf of Blue Owl Capital, Crusoe Energy Systems, and Primary Digital Infrastructure.

PowerHouse Data Centers and Poe Companies are developing a 400 MW hyperscale campus in Louisville, Ky., with the first 130 MW available by October 2026.

Yondr Group has started construction of its first Canadian data center, a 27 MW facility in Toronto. The project is part of Yondr’s global expansion, following major developments in Northern Virginia and Frankfurt.

Related:6 Key Data Center Acronyms to Watch in 2025

More North American data center news:

  • After reporting slower growth in its cloud business, Google unveiled $75 billion in 2025 capital expenditures.

  • HubSpot has announced the expansion of its global infrastructure with three new data centers in Oregon, Sydney, and Montreal.

  • A Yahoo data center in Lockport, N.Y., has been sold to Denver-based H5 Data Centers for a reported $49 million.

Plans have been unveiled for the €1 billion Ecogrid Energy Park in Pori, Finland

European Data Center Developments

In Europe, the UK is planning special districts for constructing data centers. The country will explore dedicating nuclear energy to the sites as part of a Labour government project to boost technology growth and the ecosystem for AI. 

These ‘AI Growth Zones’ will include enhanced access to electricity and easier planning approvals for data centers, the government said last month. The first zone will be in Culham, home of the UK Atomic Energy Authority.

More major news in the UK, as DC01UK, purported to be Europe’s largest data center, gained planning approval in Hertfordshire. The £3.75 billion ($4.6 billion) project will cover up to 2 million square feet, marking a significant expansion of the region’s digital infrastructure.

Meanwhile, warehouse landlord Tritax Big Box REIT is pivoting into data center development after purchasing a site where it plans to build one of the biggest such facilities in the UK.

Related:Thailand’s Data Center Market Gathers Pace as SE Asia’s Digital Economy Expands

Elsewhere in Europe, CompassForge Ventures has unveiled plans for the Ecogrid Energy Park in Pori, Finland. The billion-euro project will integrate a large-scale data center with a power plant supporting the national grid.

AVK is set to open a new service hub in Lelystad, Netherlands, in April to bolster regional support for data center clients. With further growth planned – including a Frankfurt hub later this year – the company is strengthening its European presence to meet AI-driven power demands.

Asia-Pacific Data Centers Builds

In Asia-Pacific data center news, India’s largest business conglomerate, Reliance Industries, is building what may turn out to be the world's largest data center by capacity, according to a Bloomberg report.

The upcoming data center, in Jamnagar in the state of Gujarat in Western India, will have a capacity of 3 GW, significantly more than any other data center worldwide.

Japan’s digital infrastructure is set for further growth as EdgeConneX makes its debut in the country with a major data center development in the greater Osaka-Kyoto area. Partnering with Kagoya Asset Management and Tatara R&D, the company plans to deliver a high-density, AI-ready facility with a total capacity exceeding 140 MW by 2027.

Elsewhere in Osaka, CapitaLand Investment is developing its first data center in Japan with an investment exceeding $700 million. The 50 MW facility strengthens the company's global data center portfolio, which now includes 27 sites across Asia and Europe.

More Asia-Pacific data center news this month:

Middle East and Africa Data Center Investments

KKR & Company is set to buy a stake in one of the Middle East’s largest data center firms as the energy-rich region emerges as a top investment destination for global funds and as demand for digital infrastructure skyrockets.

The US alternative asset manager is making the investment in Gulf Data Hub through its global infrastructure strategy, according to a statement. Financial details weren’t disclosed but the firms have earmarked $5 billion to grow the Emirati business regionally and internationally. 

Microsoft has shared updates on the progress of its data center region in Saudi Arabia, following a December visit by a delegation of government officials and executives from the company’s headquarters.

The technology giant announced the completion of construction on all three Azure availability zones, with availability anticipated in 2026. 

Elsewhere, Somalia’s biggest telecommunications firm, Hormuud Telecom, is planning to build more green data centers to support the growing demands of the local and the global AI economy.

Raxio Group said its facilities in Mozambique and Ethiopia have achieved Uptime Institute Tier III Certification of Constructed Facility (TCCF). “This accomplishment is an endorsement of Raxio’s commitment to delivering state-of-the-art, reliable, and efficient data center infrastructure across Africa,” the company said.

About the Author

James Walker

Senior Editor, Data Center Knowledge

James Walker is Senior Editor at Data Center Knowledge. He has nearly two decades of experience writing for business and technology publications, with a focus on translating technical issues to make them more accessible and engaging.

Before joining DCK, James was editor of The Daily Swig, an award-winning cybersecurity news website, and his work has been featured in The Times and BBC Online, among other publications.

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