11.04.2018

German Data Centers Seeking Federal Political Attention for Digital Infrastructures

A new alliance under the umbrella of eco – Association of the Internet Industry presents five contentions concerning the importance of digital infrastructures

Well-functioning and high-performance digital infrastructures act as the basis for Germany’s successful digital transformation. Operators of digital infrastructures, such as data centers, are both growth and innovation drivers, as well as multipliers for other industry sectors and guarantors for tax revenues and employment. However, the political framework conditions for digital infrastructure operators in Germany are suboptimal when measured against both international standards and conditions for industries with far less promising economic prospects. This is what the new Alliance for Strengthening Digital Infrastructure in Germany, founded by leading data center operators under the umbrella of eco – Association of the Internet Industry, wants to change. On April 10, 2018, the companies presented five contentions concerning the importance of digital infrastructures and their operators at a panel discussion in Frankfurt, Germany.

“The importance of efficient data centers in Germany has so far hardly been recognized by the general public and politicians and, politically, has practically not even been addressed. This is surprising in view of the ambitious growth objectives regarding Germany’s digitalization which the federal government recently defined in their new coalition agreement,” says Béla Waldhauser, Spokesman for the Alliance for Strengthening Digital Infrastructure. Lack of skilled professionals, lengthy authorization procedures, as well as high electricity costs are significant locational disadvantages that present a risk to Germany as a digital location. “The federal government immediately needs to develop a strategy for securing and expanding the digital infrastructure in Germany,” urges Béla Waldhauser.

The Digital Hessen Strategy can serve here as a useful model. The government of the state of Hessen is the only one that has thus far embraced the challenge of data centers and digital infrastructure. “The digital region Frankfurt is the focal point of an ecosystem that is of profound importance not only for Hessen as a business location, but also for the whole of Germany. We want to make better use of emerging potentialities with a strategic digital policy, and we are happy to be pioneers in this respect. At the same time, it must be clear that Germany as a digital location cannot only be promoted at state level, but it also needs the necessary support at the federal level,” says State Secretary Mathias Samson.

For more information about the Alliance for Strengthening Digital Infrastructure, you can read more on dotmagazine, or visit: www.digitale-infrastrukturen.net (the latter is currently only available in the German language).

Five contentions concerning the importance of digital infrastructures and their operators in Germany

  1. High-performance digital infrastructures – consisting of nationwide broadband Internet, reliable and powerful Internet Exchange Points (IXPs), as well as secure and highly available data centers – are the core requirements for Germany’s successful digital transformation, and for the development of the competitiveness of the digital economy in Germany as a digital location.
  2. Digital infrastructures form the foundation for the digital efficiency and economic sustainability in Germany as an industry location. Operators of digital infrastructures are growth and innovation drivers, as well as multipliers for other industry sectors (especially in the area of Industry 4.0) and guarantors for tax revenues and employment.
  3. Despite their economic importance for Germany as an industry location, digital infrastructure operators are currently not receiving adequate political support.
  4. The political framework conditions for digital infrastructure operators in Germany are not ideal when measured against both international standards and against conditions for industries with far less promising economic prospects. This puts Germany at risk as a digital location.
  5. Digital infrastructure operators, especially the large data centers, are already very energy-efficient. They can make an important contribution to achieving Germany’s climate protection goals, if political decision-makers seize the opportunities and pursue these with a consistent implementation concept.

For more information about the Alliance for Strengthening Digital Infrastructure you can read more on dotmagazine, or visit: www.digitale-infrastrukturen.net (the latter is currently only available in the German language).

Rechenzentren wollen bundespolitische Aufmerksamkeit für digitale Infrastrukturen