Italy Plans €1 Billion Investment in 13 Renewable Data Centres

Italy's Core Stack and Green Arrow plan 13 renewable-powered data centres with more than €1 billion in investment over four years.

By News National Editorial Team

Italy is set for a major expansion of its digital infrastructure after Core Stack, the digital infrastructure business of Lazzari Group, and Green Arrow Capital announced plans to invest more than €1 billion ($1.12 billion) over the next four years to build a network of 13 medium-sized data centres across the country.

The project comes as demand for computing capacity continues to grow, particularly because of artificial intelligence, cloud services and other data-intensive technologies. Unlike very large hyperscale facilities, the planned centres are designed as a distributed network, with the companies saying they will be powered by renewable energy generated on-site.

First projects planned in northern Italy

The first two facilities are being developed in areas near Cremona and Verona, with the project partners focusing on previously developed or industrial sites rather than relying solely on new greenfield locations.

According to the companies, permitting for the first two centres is progressing, with construction approvals expected by the end of 2027 and operations targeted for the first quarter of 2028. After the initial developments in northern and northeastern Italy, the wider programme is expected to expand toward central and southern regions.

The companies say the initiative is intended to combine digital infrastructure with energy planning. Battery energy-storage systems are also being considered to improve the energy performance of the facilities.

Growing demand from AI and cloud computing

The expansion reflects a broader European push to increase domestic computing capacity. Artificial intelligence applications require increasingly large amounts of processing power, while cloud services, enterprise software and digital platforms continue to increase demand for data-storage and computing infrastructure.

Italian data-centre capacity has already been expanding. Data cited by Italy's Politecnico di Milano indicate that installed data-centre power capacity increased by 19% in 2025 compared with the previous year, reaching 609 megawatts.

The investment therefore arrives at a time when governments and businesses are increasingly considering not only the availability of computing capacity but also the electricity required to operate it.

Renewable energy is central to the plan

The proposed facilities are intended to use renewable electricity generated directly at the sites. The developers say this approach is designed to link energy availability with computing capacity while reducing the environmental impact associated with rapidly expanding digital infrastructure.

The project is also expected to use an Italian supply chain, according to the companies. That could provide opportunities for engineering, construction, energy, technology and infrastructure businesses involved in the development of the centres.

Why the project matters

Italy's data-centre expansion comes as countries across Europe compete to attract AI and cloud investment while managing electricity demand, land use and environmental concerns.

For Italy, the planned 13-centre network could strengthen domestic digital capacity and reduce dependence on concentrated infrastructure in a small number of locations. The use of renewable generation and potential battery storage could also help address some of the energy challenges associated with high-performance computing.

The first facilities are still at the planning and permitting stage, meaning the announced €1 billion investment will be deployed over several years rather than immediately.

Verification

News National reviewed current Reuters reporting and Italian financial and national news coverage. The investment amount, 13 data centres, four-year timeframe, renewable-energy plan and initial locations are consistent across the available reports. The first two facilities remain subject to permitting and are not yet operational.

Sources: Reuters; ANSA; Borsa Italiana/Radiocor; Politecnico di Milano data cited in Italian reporting.

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