Equinix has officially opened MD5, its new data center located in the Alcobendas area of Madrid, Spain.

The colo firm this week held an official ceremony attended by the President of the Community of Madrid, Isabel Díaz Ayuso; the Regional Minister for Digitalization, Miguel López-Valverde; the Regional Minister for the Economy, Rocío Albert; and the Mayor of Alcobendas, Rocío García-Alcántara.

This project is being driven by a significant investment of €460 million ($534m) in the town’s campus, reinforcing the Community of Madrid’s position as the leading digital and interconnection hub in Southern Europe.

Infrastructure for the Age of Artificial Intelligence

The new building adds 4,400 sqm (47,360 sq ft) of colocation space to Equinix’s network.

During the ceremony, Valentín Pinuaga, managing director of Equinix Spain, highlighted the transformative role that new technologies play in physical facilities: “Today we talk a lot about Artificial Intelligence, but there is a less visible—and probably more important—conversation: what is needed for that AI to truly function, at scale and securely. And this is where infrastructure comes into play. We have committed to a cooling model that allows us to operate without water consumption, a step toward a new generation of infrastructure for more efficient and responsible AI.”

Equinix currently operates three IBX facilities – MD1, MD2, and MD6- in Madrid. It also has the MD3x, a hyperscale facility under the company’s xScale brand.

The company also operates two facilities in Barcelona. Equinix entered Spain in 2017 when it bought local operator Itconic from the Carlyle Group for €215m (then $259m). The deal included a data center in Seville, which Equinix no longer operates.

Madrid is stepping up competition against the FLAP market

Rocío García Alcántara, mayor of Alcobendas, highlighted the conditions the municipality offers for attracting technology investment, describing the town as a highly competitive hub: “Alcobendas has become a hub for digital innovation, already home to six large data centers. We are promoting a special streamlining plan that allows for the establishment of data centers on commercial and industrial plots.”

The president of the Community of Madrid, Isabel Díaz Ayuso, used the event to highlight the multinational colo’s leadership in the region and provide an update on the sector’s macroeconomic figures in the Madrid area: “It is now official that Equinix is the largest operator in the Community of Madrid. It has made us the technology hub of Southern Europe with 14 data centers in operation and 15 under construction.”

Díaz Ayuso emphasized that Madrid is competing with agility and at a rapid pace against traditionally established markets in Europe, such as Frankfurt, London, Amsterdam, and Paris: “We have a future investment portfolio exceeding 40 data centers with a capacity of over 3,100MW.”

She also highlighted the importance of government in establishing initiatives such as the Office for the Promotion of Data Centers and the Department of Digitalization to ensure cybersecurity and optimally apply AI to public services.

This piece was automatically translated from DCD’s Spanish site and edited by a member of DCD’s editorial staff.