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Business Review: Romania well-positioned for data centre growth as AI demand surges

While Romania is vying to host a Black Sea AI Gigafactory as part of an EU initiative, the local market for data centres is emerging, boosted by the low cost of land, growing renewable energy capacities, and a competitive tech talent pool, according to Business Review.

Despite the unprecedented growth of global data centre markets, Romania’s capacity on this front remains relatively modest. The total installed capacity is currently below 100 MW, which is low compared to other countries in the region, an analysis by Cushman & Wakefield Echinox finds.

“Besides Bucharest, other regions in Romania also hold significant potential for data centre investments. Cities such as Cluj-Napoca, Timisoara, and Iasi offer strong infrastructure, access to qualified talent, and advanced digital connectivity. These locations are attractive to operators seeking to expand and leverage the benefits of the nascent local market,” says Laura Bordianu, Data Analyst in the Research Department at Cushman & Wakefield Echinox.

Bucharest hosts the most data centres

Currently, there are 59 data centres spread across the country. The largest concentration is in Bucharest, with 27. Other notable locations include Timisoara with 9 data centres, Cluj-Napoca with 8, and Brasov with 4. In Dolj County, Cluster Power is building the largest hyperscale data centre in the country, with a planned operational capacity of 200 MW.

One of the main factors driving the growing demand for data centre capacity is the expansion of cloud-based services. A large share of the total available data centre capacity in mature markets is used by cloud platforms (25% in Europe and the Middle East – EMEA, 40% in the Americas).

Market players highlight an attractive energy mix from wind, solar, and hydro sources, as well as strong fibre-optic connections that link Romania to the rest of the world.

“Large companies in these sectors are interested in the data centre sector, driven by the explosion in demand generated by AI, but also by the strong growth in demand for cloud services,” says Mihai Manole, the CEO of Tema Energy, a local data centre designer and builder.

Western Europe’s high construction costs of more than EUR 10 million per MW are leading investors to turn their attention to CEE. In countries such as Greece and Poland, these costs are on average below EUR 7.5 million, and in Romania, they can be even lower due to more affordable land, according to Manole.

“In Bucharest, a number of large investment and real estate players have secured sizeable plots of land in well-located areas with easy access to the national grid,” he adds.

Bucharest had a data centre vacancy rate of 5% in 2024, almost half the 9.8% recorded in the Frankfurt, London, Amsterdam, Paris region, and well below the estimate of around 7.9% for 2025.

“A non-occupancy rate of only 5% in Bucharest suggests that many companies fail to find the necessary resources to co-locate digital projects, which will most likely lead to an upward trend in prices for such services,” according to the Tema Energy CEO.

Frankfurt, London, Amsterdam, Paris, and Dublin (FLAPD) collectively account for a substantial portion of the region’s data centre capacity, with 4.26 GW in live capacity. London continues its EMEA market lead with 1.14 GW operational capacity. Milan joins FLAPD with 990 MW in live and pipeline capacity.

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