A significant £6.3bn investment by US tech firms will boost the UK’s data centre capacity.
- CyrusOne, ServiceNow, Cloud HQ, and CoreWeave are at the forefront of this initiative.
- The development is part of the UK’s strategy to position technology at the centre of economic growth.
- New data centres are expected to enhance AI development and create job opportunities in the UK.
- The UK’s recent designation of data centres as critical infrastructure underlines their strategic importance.
Four prominent US technology companies—CyrusOne, ServiceNow, Cloud HQ, and CoreWeave—have announced a substantial combined investment of £6.3 billion to expand data centre infrastructure in the United Kingdom. This move is a testament to the UK’s ambition to become a global leader in technology and data management.
The investment is closely aligned with the UK’s broader industrial strategy, which places technology at its core. As part of this initiative, CyrusOne is set to increase its investments in the UK to £2.5 billion, with new projects expected to be operational by the end of 2028, pending necessary planning approvals.
ServiceNow, a leader in global AI platforms and software, plans to inject £1.15 billion into its UK operations. This investment aims to bolster AI development locally, with a focus on expanding data centres equipped with Nvidia GPUs, which are critical for processing immense volumes of data efficiently.
Cloud HQ, based in Washington DC, intends to establish a new £1.9 billion data centre campus in Didcot, Oxfordshire. This project is anticipated to create 1,500 jobs during the construction phase and 100 permanent positions upon completion, significantly impacting the local job market.
Meanwhile, AI hyperscaler CoreWeave has confirmed a £750 million investment to advance its next-generation AI cloud infrastructure in the UK. This comes on the heels of recent UK government initiatives to support and incentivise data centre development.
Notably, the UK government has recently classified data centres as ‘critical national infrastructure’. This designation places data centres on par with vital services like water and energy, reflecting their crucial role in supporting the digital economy.
The total economic impact of cloud computing in the UK is considerable, accounting for over £42 billion in 2023, which represents approximately 1.6% of the nation’s GDP. This underscores the sector’s importance, surpassing industries such as automotive manufacturing.
This significant investment in data centres is poised to strengthen the UK’s position as a hub for technological advancement.
