Digital infrastructure business Core Stack and investment firm Green Arrow Capital have announced plans to invest more than €1bn in a network of 13 data centres across Italy.
The project will span four years and see the companies develop medium-sized facilities powered by renewable energy generated on-site, in a move aimed at expanding the country’s digital infrastructure.
Core Stack, the digital infrastructure division of Lazzari Group, and Green Arrow said they expected to receive permits for the first two sites, in the provinces of Cremona and Verona, by the end of 2027. Operations are scheduled to begin in the first quarter of 2028.
The companies plan to begin with projects in northern and northeastern Italy before extending development towards the centre and south of the country.
The network will rely on an entirely Italian supply chain, according to the companies, with development expected to make use of previously developed industrial sites.
The investment comes as demand for data centre capacity grows alongside the expansion of cloud computing and artificial intelligence. Data centres provide the computing power and storage required to run digital services, with operators facing increasing pressure to expand capacity and secure reliable sources of electricity.
The use of on-site renewable energy is a central part of the proposed development. However, the companies have yet to disclose the planned capacity of the facilities or how much of their overall energy requirements will be met by on-site generation.
The first two projects remain subject to planning approvals, with the companies targeting the end of 2027 to secure the necessary permits. Operations are expected to follow in early 2028, although a detailed construction timetable for the full network has not been disclosed.
The announcement follows the formation of a strategic joint venture between Core Stack and Green Arrow Capital earlier this year, as the investment firm moved into the data centre sector. Green Arrow Capital is an Italian alternative investment manager active in private markets, while Core Stack focuses on digital infrastructure development.
Italy has attracted growing interest from data centre investors as technology companies seek additional capacity to support cloud services and AI workloads. The country is also competing with other European markets to attract investment in the infrastructure underpinning the digital economy.
The planned network of 13 facilities would spread capacity across multiple locations, rather than concentrating the entire investment in a single large campus. The companies have not yet disclosed details of prospective customers or the individual capacity of each site.
The project will also depend on securing permits and delivering the necessary infrastructure before the proposed facilities can begin operating. The first two sites are expected to provide an initial step in the wider development programme.
The investment adds to a growing pipeline of proposed data centre projects across Europe, where demand for computing capacity has prompted operators and investors to commit billions of euros to new infrastructure.
Core Stack and Green Arrow said development would proceed from the more advanced projects in the north and northeast before moving into other parts of Italy, with the first facilities targeted to become operational in 2028.
