Equinix is set to bolster its global colocation data center network with the construction of a new facility, LS2, in Lisbon, Portugal. This strategic move represents an initial investment of approximately €50 million and is aimed at enhancing the digital infrastructure capabilities of Portugal, positioning it as a crucial gateway between Europe and other continents including Africa and the Americas.
The planned data center is to be situated next to the existing LS1 facility, expanding Equinix’s footprint and forming a high-capacity data center campus. This expansion is not just a physical growth but also a strategic enhancement of Lisbon’s role as a pivotal hub in global data traffic, particularly for subsea and terrestrial cables that connect Europe to various parts of the world.
Portugal’s geostrategic position is increasingly significant in the global network map due to its ability to serve as a bridge between Europe, Africa, and Latin America. This advantage is amplified by Lisbon’s evolving status as a subsea hub, with numerous cables like EllaLink and Equiano landing there, connecting the continent directly to other global regions without routing through traditional nodes like the United States.
The Equinix LS2 facility is set to provide “state-of-the-art services” including colocation space, scalable technical areas, and robust energy solutions, all backed by renewable energy sources. The data center aims to meet LEED certification standards, reflecting Equinix’s commitment to sustainability and environmental responsibility.
Portugal’s Digital Landscape
The broader impact of this development can be significant for Portugal’s digital and economic landscape. It is expected to attract more international businesses to the region, foster technological innovation, and support digital transformation initiatives across various industries. This move would align with Equinix’s vision for 2030, focusing on enhancing connectivity and supporting the digital economy’s growth through strategic infrastructure investments.
All things considered, Equinix’s growth in Lisbon would be further evidence of the growing significance of digital infrastructure for international connection and economic growth. In addition, it outlines the company’s plan to incorporate environmental sustainability into its operations with the goal of becoming carbon neutral by 2030.
Portugal is in a prime location to act as a hub connecting South America, Africa, and Southern Europe:
- The fastest-growing continent by far was Africa, where international internet bandwidth increased at a compound annual growth rate (CAGR) of 44% between 2019 and 2023. However, over 850 million Africans do not now have access to even the most basic internet services. However, the Equiano and 2Africa cable systems will contribute to this transformation, laying the groundwork for Africa’s digital development.
- Lisbon is also a major factor in Latin America’s rise in the digital sector. Launched in 2021, the EllaLink cable system simplified data sovereignty concerns and decreased latency by being the first to directly connect Europe and South America without going via the United States.
- Lisbon would also contribute significantly to the Mediterranean Corridor, which strengthens redundancy. For this reason, the Medusa cable system is planned to link Lisbon and Egypt, with branches expected to arrive in a number of markets in Europe and North Africa during the route. Medusa will be the first new cable connection between Lisbon and the Mediterranean in over 15 years when it starts in 2025.
