Alphabet’s Google will invest €5.5 billion ($6.41 billion) in Germany over the coming years to expand its data center and cloud infrastructure, the company announced alongside government officials in Berlin on Tuesday. The move marks one of Google’s largest European investments to date, underscoring Germany’s importance as a digital hub within the region.
The investment plan includes the construction of a new data center in Dietzenbach, near Frankfurt, and an expansion of Google’s existing Hanau site—both located in the central state of Hesse. Together, the sites will host around 100 employees each, according to Marianne Janik, vice president for Google Cloud Northern Europe.
Philipp Justus, Google’s head in Germany, said the project is expected to generate an additional 9,000 indirect jobs in the surrounding area through construction, services, and supplier contracts. “The economic multiplier effect of this investment will be considerable,” Justus said at the press conference.
Boosting Germany’s Role in Europe’s Digital Economy
The investment reflects Google’s ongoing strategy to strengthen its European cloud operations and meet rising demand for AI computing and digital services. Frankfurt is already one of the world’s largest internet exchange hubs, and the new facilities are expected to enhance data processing capacity for customers across Europe.
German Finance Minister Lars Klingbeil described the plan as a “truly important signal for Germany as a business location.” He said the project aligns with the government’s broader effort to modernize national infrastructure and improve the country’s competitiveness in the digital economy.
Klingbeil noted that no public subsidies will be used for Google’s investment, even though Germany recently created a major off-budget infrastructure fund to support modernization initiatives. “Our clear goal is to modernize our country and advance its economy,” he said.
Expanding Cloud Footprint Across Europe
Google’s latest investment follows a broader wave of hyperscaler expansion across Europe, as companies including Amazon Web Services, Microsoft Azure, and Oracle race to build capacity for AI-driven workloads and cloud-based enterprise solutions.
Germany’s central location and strong data protection laws make it a key market for these investments. Google’s expanded footprint in Hesse will further integrate the region into the company’s global data infrastructure, supporting European customers with faster, more secure cloud and AI services.