US tech firm CloudHQ to develop £1.9bn data centre campus in Didcot

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US tech firm CloudHQ to develop £1.9bn data centre campus in Didcot
US tech firm CloudHQ to develop £1.9bn data centre campus in Didcot

A £1.9 billion data centre campus is set to be developed near the former Didcot A coal-fired power station in Didcot by US tech firm CloudHQ.

Although the exact location of the data centre is yet to be disclosed, CloudHQ’s 37.5-acre LHR campus in Didcot will become one of the largest fully permitted and powered data centre facilities in the London metro area – creating over 1,500 jobs during construction and 100 permanent roles once operational.

The site will initially offer a 100MW IT load capacity, expandable to 300MW if required. Strategically positioned adjacent to a 400kV National Grid substation, the campus will deliver significant savings through transmission-level voltage connections, reducing energy costs. In addition to its strategic positioning, CloudHQ has invested in a diverse fibre duct infrastructure, directly connecting the campus to the Slough Trading Estate.

This will enable the site to scale rapidly and operate in a “campus-style” model, which is becoming increasingly important as global demand for data centre infrastructure grows. The Didcot project is part of a broader wave of investment in UK data centres by major US technology firms.

At the UK Government’s International Investment Summit in October, CloudHQ was one of four US tech companies – alongside CyrusOne, ServiceNow, and CoreWeave – to have announced a collective investment of £6.3 billion into UK data centre infrastructure.

CloudHQ campus on Didcot. Image: CloudHQ
CloudHQ campus on Didcot. Image: CloudHQ

This substantial investment has been hailed as a “vote of confidence” in the UK’s thriving tech market and its leadership position in artificial intelligence (AI) development.

Technology Secretary Peter Kyle underscored the importance of data centres in driving economic growth and innovation, particularly in emerging fields like AI.

He pointed out that data centres are crucial to powering essential services and applications in today’s digital economy, from AI to cloud services and streaming platforms. Recognizing their importance, the UK government recently classified data centres as Critical National Infrastructure (CNI), providing added support and protection.

CloudHQ’s CEO, Hossein Fateh, expressed excitement about the Didcot development, noting its role in addressing the UK’s growing demand for AI and machine learning capabilities.

As part of CloudHQ’s broader strategy, the company partners with leading global technology firms to provide secure, reliable data centre infrastructure. The Didcot project will help cement the UK’s place as a world leader in AI and data technology, ensuring the country’s digital infrastructure keeps pace with the rapid evolution of technology.

Councillor Jane Murphy, who represents the Didcot East and Hagbourne ward on Oxfordshire County Council, has praised the development, citing its positive impact on the local economy.

Councillor Murphy highlighted the value of such investments, stating that the new jobs will provide valuable opportunities for residents while enhancing Didcot’s standing as a hub for business growth.


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