Damac and Vodafone Launch Turkish Data Center in Izmir with 4MW Initial Capacity, Scaling to 20MW

Middle Eastern real estate firm Damac and Vodafone have inaugurated the first phase of a new data center in Izmir, Turkey, marking a significant expansion of digital infrastructure in the Aegean region. The facility, developed through Damac Digital and Vodafone Türkiye, initially delivers 4MW of capacity and is designed to eventually scale to 20MW, offering space for 650 racks across 7,500 square meters (80,730 square feet).

The project, first announced in 2024, was originally earmarked as a $100 million investment with plans to launch at 6MW and eventually reach 12MW. Damac Digital has since confirmed that the total investment in the facility is now set to reach $300 million, reflecting the expanded scope and ambition of the development. The data center was officially inaugurated at a ceremony attended by Türkiye's Minister of Transport and Infrastructure, Abdulkadir Uraloğlu, Vodafone Türkiye CEO Engin Aksoy, and senior executives from Damac Digital.

The launch comes as Turkey continues to position itself as a regional hub for cloud computing and digital services, with growing demand for data processing and AI capabilities driving investment in local infrastructure. The Izmir facility is Vodafone's second data center in the city and sixth in the country overall, adding to its existing sites in Istanbul, Ankara, and Adana. The site was built with seismic isolation technology to provide protection against earthquakes, a critical consideration in a region prone to seismic activity.

Hussain Sajwani, founder of Damac Group and chairman of Damac Digital, described the inauguration as a milestone for Turkey's digital transformation. "The inauguration of the Aegean Region's largest data center in Izmir is a significant milestone in Türkiye's digital transformation and reflects our long-term confidence in the country's growth potential," he said. "Bringing together Vodafone Türkiye's deep local capabilities with Damac Digital's global expertise, we are helping to build the resilient, future-ready infrastructure that will power Türkiye's next chapter."

Engin Aksoy, CEO of Vodafone Türkiye, emphasized the project's role in strengthening the country's cloud capabilities and data sovereignty. "This project builds on Vodafone Türkiye's long-term investment in the country's digital future," he said. "Serving more than 25 million mobile customers, millions of SMEs, and thousands of large enterprises, our belief in Türkiye's potential has never wavered. Delivered in just one and a half years, Izmir Data Center stands as a powerful demonstration of this commitment. This facility will not only scale Vodafone's infrastructure but also reinforce Türkiye's cloud capabilities and data sovereignty, fueling the critical data processing and AI needs of businesses."

Damac Group established Edgnex, now known as Damac Digital, in 2021. The company claims a landbank totaling 6GW across 35 sites in 13 countries, including Spain, Italy, Greece, Turkey, Thailand, Malaysia, Indonesia, and the Philippines, with live sites in Saudi Arabia and Thailand. Damac Digital said it has broken ground on ten new sites in the first half of the year, with eight sites expected to be operational by the end of 2026. By the first quarter of 2027, the company is targeting more than 700MW of operational capacity across more than 14 sites, with approximately 2GW set to be live by the first quarter of 2028.

The Izmir data center represents a notable step in Turkey's efforts to attract foreign investment in digital infrastructure and reduce reliance on overseas data processing. As demand for AI and cloud services accelerates across the region, the facility is expected to play a key role in supporting enterprise digital transformation and data localization requirements.