Data Centers in Denmark

Denmark – Stable Hub for Northern European Digital Infrastructure

Executive Summary

Denmark is an outstanding market for businesses requiring highly stable, secure, and green-powered digital infrastructure. Its strategic location serves as a low-latency gateway to the Nordic countries and Northern Europe. Deploying in Denmark de-risks operations through its minimal disaster profile and highly reliable power grid, ensuring maximum uptime for critical applications.

Denmark: At A Glance

Network & Connectivity Ecosystem

Denmark's network infrastructure is modern, dense, and exceptionally reliable, making it a prime hub for data exchange between the Nordics, the UK, and continental Europe.

Carrier Density & Carrier Neutrality With over 26 network providers active as of September 2025, the market offers excellent choice and competitive pricing. Carrier-neutral facilities in Copenhagen and other cities provide redundant connectivity options, preventing vendor lock-in and improving resilience.

Direct Cloud On-Ramps Over 2 direct on-ramps provide low-latency access to 16 cloud regions. Private connections are available to major cloud providers, including:

• AWS
• Microsoft Azure

This direct access is critical for building high-performance, secure hybrid cloud architectures.

Internet Exchange Points (IXPs) The Danish Internet Exchange Point (DIX) is the primary hub for traffic exchange in the country. Peering at the DIX keeps local traffic within Denmark, reducing latency and improving performance for end-users.

Bare Metal Bare metal server capacity is readily available from multiple providers. Companies like Leaseweb offer dedicated server solutions for workloads that demand the highest levels of performance and security.

Power Analysis

Denmark's power infrastructure is a key competitive advantage, characterized by its focus on reliability and sustainability.

Average Cost Of Power Industrial power costs are estimated between DKK 0.80 and DKK 1.10/kWh as of September 2025. The country's significant investment in renewable energy, particularly wind power (approximately 60% of the grid mix), helps stabilize operational expenses against fossil fuel price volatility.

Power Grid Reliability The Danish power grid is one of the most reliable in Europe. The national transmission system is well-engineered and maintained, with strong redundancy supporting the major data center clusters. This ensures consistent, clean power delivery essential for 24/7 operations.

Market Access, Business & Tax Climate

Denmark provides a stable and efficient business environment with excellent access to affluent Northern European markets.

Proximity To Key Business Districts Data centers are concentrated near Copenhagen, the nation's economic center. This proximity serves the city's thriving technology, life sciences, and shipping industries, enabling low-latency access for local and international businesses headquartered there.

Regional Market Reach Strategically positioned as a bridge between continental Europe and the Nordic region, Denmark offers a single point of presence to effectively serve over 100 million people across Germany, Sweden, Norway, and Finland with minimal delay.

Tax Advantage For Data Centers While Denmark does not offer specific tax incentives for data centers, it provides a transparent and predictable corporate tax environment. The main financial benefit stems from operational stability and efficiency rather than direct tax breaks, simplifying long-term financial modeling.

Natural Disaster Risk

Denmark has a "Very Low" natural disaster risk profile, with an INFORM Risk score of 1.4 out of 10 as of September 2025. This exceptional stability makes it one of the world's safest locations to house critical digital assets.

Key risk factors are minimal and well-managed:

• Coastal Flood: The most notable hazard, though defenses are strong.
• Drought: A secondary consideration with moderate risk.
• Epidemic: A factor in public and operational health planning.

Risks from earthquakes, tsunamis, river floods, and tropical cyclones are negligible, ensuring that physical threats to data center uptime are exceptionally rare.