Iberdrola starts new company to build data centres for likes of Amazon and Meta
Green power giant says new unit to launch in Spain with global ambitions to tap into AI-driven boom
Global green power giant Iberdrola is moving into the data centre business amid soaring demand for renewables to supply the energy-hungry facilities.
Iberdrola is in the process of setting up a new company to build data centres in Spain, with a view to expansion into other growth markets, said executive chairman Ignacio Galan.
Galan said IT giants such as Amazon, Meta and Microsoft are already big customers for Iberdrola’s power, with around 8TWh of annual supply agreements in place between the Spanish group and various tech groups.
“We already sell a lot of energy to these companies. Because our relationship is so close with these companies we would like to facilitate installation of new data centres using our skills in different countries,” said Galan.
He said plans for the new company are “well advanced” in Spain, but Iberdrola also sees opportunities in the UK and the US.
Specialist data centre media reported earlier this year that Iberdrola is seeking partners for the venture and talking to potential investors.
Driven by the soaring demands of AI and cloud computing, data centres have shot up the list of destinations for renewable energy under power purchase agreements.
Iberdrola expects that in the US, data centre demand will account for around 10% of electricity demand by 2030, triple current levels, and global demand will double by 2026.
Amazon said earlier this year it will invest €15.7bn ($17bn) in green-powered data centres in Spain.