Germany’s Schwarz Group, owner of Lidl and Kaufland, plans to invest €5.6 billion ($6.5 billion) in a data center near Rostock. Set to be operational by 2033, the center will have a capacity of 240 megawatts and aims to enhance digital independence, particularly against US and Chinese tech giants.
This project aligns with the group’s strategy to offer cloud services through its Schwarz Digits division, which recently achieved €2.2 billion in revenue, an increase of 16% year-on-year. The data center will initially serve the Schwarz Group’s internal needs, including payment transactions and delivery processes, before potentially expanding its services.
Strategically located in Dummerstorf, the center benefits from substantial wind energy resources, which is essential given the projected high energy demands and cooling needs. Additionally, waste heat from the facility is intended to support district heating in Rostock, promising both economic and environmental advantages.
While the local government promotes the project for its potential benefits, there’s skepticism among residents about the impacts of digitalization and AI on jobs. However, the facility is expected to create thousands of jobs during construction and around 120 skilled positions when operational.
