By Mandy Watson, a partner at Ryden
WHEN most people think about data centres, they picture vast industrial buildings consuming huge amounts of energy and dominating the landscape.
It is perhaps unsurprising that proposals for new developments can generate strong opinions. Yet after attending the Datacloud Global Congress in Cannes, a leading global gathering for digital infrastructure professionals, I was struck by the growing gap between public perception and reality.
It’s time for a more informed conversation about the role these modern facilities play in our economy and society. The truth is that data centres are no longer simply property developments. They are critical infrastructure.
Every online purchase, bank transaction, streamed programme, healthcare appointment and cloud-based business service relies on data centres operating behind the scenes. As one speaker at the congress succinctly put it: “The internet does not run on magic.”
Too often, the debate begins and ends with the building itself rather than the services it enables. Without data centres there is no digital economy, no cloud computing, no AI-powered innovation and no modern financial, healthcare or manufacturing systems operating at scale.
The question is not whether we need data centres. We already do. The question is whether Scotland is prepared to embrace the opportunity they present.
Scotland has many of the ingredients that make it an attractive location for investment in data centre development. Our colder climate reduces cooling requirements and lowers operational energy demand. We have abundant renewable energy resources, strong grid connectivity, extensive brownfield land and a highly skilled workforce with expertise in engineering, infrastructure and technology.
These are many of the same advantages that have helped Nordic countries become leaders in sustainable data centre development. Yet public concern, often based on outdated information, remains one of the biggest challenges facing the sector.
One common misconception is that modern data centres consume vast quantities of water. Advances in cooling technology mean many facilities now use closed-loop cooling systems that significantly reduce water consumption.
Equally, many people are unaware of the opportunities data centres create for heat recovery. Rather than waste heat being lost, it can be captured and redistributed through district heating networks to support homes, businesses and public buildings. In that respect, data centres are increasingly becoming part of the sustainability solution.
Encouragingly, the industry is already taking proactive steps to address these concerns. The recently launched Green Data Centre Charter for Scotland sets out five principles for sustainable development, covering renewable energy, energy efficiency, responsible water use, district heat networks and meaningful community benefits.
There are also valuable lessons to be learned from countries with more mature data centre markets. Verne, a European data centre platform specialising in sustainable, high-density infrastructure, operates hyper-connected urban hubs and low-carbon Nordic campuses powered entirely by renewable energy. It is a powerful example of how large-scale digital infrastructure can be delivered while prioritising environmental performance and long-term sustainability.
The scale of the opportunity for Scotland should not be underestimated. Ryden is supporting clients on development proposals including a major data centre campus that has the potential to attract billions of pounds of inward investment and support thousands of jobs during construction, while helping to drive wider regeneration and supply chain growth.
The greatest risk facing Scotland is not a lack of investor appetite. Demand remains strong. The real challenge is ensuring misconceptions do not create barriers that slow progress and prevent opportunities from being realised.
Countries across the Nordics and even Ireland have already demonstrated what can be achieved when infrastructure investment, sustainability and economic ambition work together. Scotland has every opportunity to become a leading destination for sustainable digital infrastructure. Now, we need to seize it.
