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Portugal: The New Digital and Energy Hub of the Atlantic

Portugal is no longer on the periphery of Europe’s digital and economic map. It is becoming one of the most strategically positioned countries in the continent’s transformation toward a green, data-driven future. This week, as Lisbon hosts Atlantic Convergence 2025, global leaders in digital infrastructure are gathering to discuss how artificial intelligence, connectivity, and clean energy are reshaping the global economy. Few places better represent this intersection than Portugal itself.

The country’s data center sector is expanding at an unprecedented pace. According to Portugal DC, the sector’s contribution to the national economy is projected to grow from €160 million in 2024 to €3.7 billion in 2031. This explosive development is driven by more than €13 billion in direct investment, as global technology companies, hyperscalers, and AI infrastructure providers look to Portugal as Europe’s next major digital hub.

What makes Portugal so attractive is its unique combination of geography, energy, and stability. With access to transatlantic submarine cables, one of the largest shares of renewable energy in Europe, and a competitive energy cost structure, the country is perfectly positioned to host the next generation of sustainable data centers. While Northern Europe struggles with energy saturation and land constraints, Southern Europe — and Portugal in particular - is stepping confidently into the spotlight.

The impact of this new wave of investment is already visible. Thousands of highly skilled jobs are being created, with projections rising from 2,800 in 2024 to nearly 10,000 in 2031. These include roles in engineering, cybersecurity, and digital infrastructure management - areas that will define the future global economy.

Beyond the numbers, what stands out is the speed and coordination of Portugal’s actions. Local authorities, government agencies, and private companies are working together through projects of national interest, tax incentives, and accelerated licensing frameworks. This agility is giving Portugal a reputation not only as a country open to innovation, but one prepared for it. A recent example comes from the Alentejo region, where a new €200 million data center is about to begin construction, creating more than 60 highly skilled jobs. The project reflects the country’s commitment to decentralizing digital growth, bringing opportunities beyond Lisbon and Porto.

As the world accelerates toward an AI-powered future, Portugal’s combination of green energy, connectivity, and vision gives it a unique advantage. The nation is becoming a bridge between continents, connecting Europe, Africa, and the Americas through data, energy, and innovation.

The Atlantic Convergence, taking place this week in Lisbon, is more than a conference. It’s a symbol of the new Portugal: confident, connected, and essential to the future of the digital economy.

Portugal is no longer just part of the conversation - it’s helping to lead it. And as the country builds the physical and digital backbone of tomorrow’s world, its success will bring prosperity not only to its economy but to the people shaping it.