EMSIS: Intelligent Energy Management for Server Systems

In Germany alone, there are approximately 2.4 million servers in operation. A significant portion of these run continuously, even though no applications are running at times. EMSIS is developing an intelligent energy management system that can automatically and safely shut down unused terminal server systems and reactivate them as needed.

Great Potential for Greater Energy Efficiency

Unused server systems result in avoidable energy consumption and operating costs. At the same time, there is currently a lack of commercially available, scalable solutions that reliably control automated power-on and power-off functions and ensure the secure operation of the IT infrastructure.

EMSIS is laying the groundwork for this: The project is developing a smart solution that takes technical, operational, and application-specific requirements into account and enables energy-efficient operation of terminal server systems.

Advancing Sustainable Digitisation

Through this project, the Borderstep Institute supports companies and data centers in using energy more efficiently and meeting increasingly stringent energy efficiency requirements. In this way, EMSIS helps make digitalization more sustainable and reduce the resource consumption of digital infrastructures.

For more information about the project, visit the EMSIS – Intelligent Energy Management for Server Systems project page.

 

  • © Rolf Schulten

Award for Research on Sustainable Business Models

Borderstep Senior Researcher Dr. Tobias Froese is part of an international research team that has been studying business models. The team was honored with the Journal of Business Models’ Sustainability & Societal Impact Award at the Business Model Conference 2026. The award recognizes scholarly work that makes an outstanding contribution to the understanding of sustainability and societal impact in business model research.

What factors determine sustainable business model transformations?

The title of the award-winning paper is: “Antecedents of Sustainable Business Model Transformation: Insights from a Cross-Sectional Field Study.” It examines which factors trigger and shape sustainable business model transformations in companies. The study is based on a field study involving eight German companies. The authors identify eight key influencing factors. In doing so, they demonstrate how their interaction can either promote or hinder sustainability-oriented changes in business models.

Dr. Tobias Froese contributed a chapter to the publication. Also involved in the paper was Prof. Dr. Florian Lüdeke-Freund, Research Fellow at the Borderstep Institute and Professor at ESCP Business School. The first author and presenter at the conference was Angelica Sardini from the Università Politecnica delle Marche.

Other co-authors include Dr. Florian Hofmann from the Institute for Ecological Economy Research (IÖW) and Marie Hourdin from Better Media France.

New Theoretical Perspectives on the Transformation of Business Models

With this award, the international academic community recognizes a contribution that opens up new theoretical perspectives on the transformation of business models for sustainability. It provides important impetus for further research.

 

 

  • © Borderstep

Best Paper Award for Borderstep at ICT4S 2026

After several years, Borderstep returned to the International Conference on ICT for Sustainability (ICT4S) in person in 2026. The conference provided a special occasion for celebration: Dr. Severin Beucker and Simon Hinterholzer received the Best Paper Award for their scientific contribution. They are both experts in the field of Digitisation and Green IT.

How does the expansion of data centers affect energy consumption, efficiency, and sustainability?

The award-winning paper, “Data center boom: Learnings from data derived through the Energy Efficiency Directive on the sustainability of European data centers”, examines the sustainability performance of European data centres based on data collected under the European Energy Efficiency Directive (EED). The study provides new insights into how the rapid expansion of data centre infrastructure is affecting energy consumption, efficiency and sustainability, and highlights implications for policymakers and industry stakeholders.

“We are very honoured and grateful to the organising committee, the reviewers, and the wonderful ICT4S community,” said Dr. Severin Beucker following the award ceremony.

The paper will soon be published in the official conference proceedings. Borderstep also will make it available on the website.

ICT4S is the world’s leading scientific conference dedicated to the relationship between information and communication technologies and sustainable development. Researchers from a wide range of disciplines come together to explore how digital technologies can contribute to addressing environmental and societal challenges while also examining and reducing the sustainability impacts of digitalisation itself.

Extensive research expertise in the field of sustainable digitalisation

The award highlights Borderstep’s long-standing expertise in the field of sustainable digitalisation. For many years, the institute has conducted research on the environmental and climate impacts of digital infrastructures. This includes data centres, communication networks and digital technologies that support the energy transition. Borderstep researchers currently work on several projects for the European Commission. They focus on data centre sustainability, assessment and labelling schemes, minimum performance standards, and methodologies for evaluating the climate and sustainability impacts of digital infrastructures.

The Best Paper Award recognises outstanding scientific contributions. It underlines the importance of robust data and independent research for shaping a sustainable digital transformation.

How do green start-ups use generative AI?

How do founders of green start-ups use generative AI, and what opportunities and risks does this create for their dual mission of economic viability and environmental impact? A new journal article by Jeanine Kirchner-Krath, Eva Alexandra Jakob, Thomas Neumann, Mario Schaarschmidt, and Benedikt Morschheuser addresses this question.

For mission-driven start-ups, generative AI should not be treated as a shortcut to growth. Its value depends on whether it strengthens the venture’s impact logic rather than simply accelerating processes and adding new risks. — Dr. Thomas Neumann, Borderstep Institut

Five roles of generative AI in environmentally oriented business models

Based on a qualitative survey of 128 green start-ups in Germany, the study identifies five distinct roles of generative AI in environmentally oriented business models:

  • seldom-used tool
  • marketing content producer
  • core green activity booster
  • assistive sparring partner
  • growth accelerator

The findings show that generative AI is already being used in many different ways by green start-ups. However, the intensity and strategic relevance of its use vary considerably. In some cases, generative AI is used only occasionally, for example to support marketing or content creation. In others, it is already becoming part of core business activities, customer communication, product development or strategic decision-making.

What challenges do green start-ups face when using generative AI?

At the same time, the study reveals several tensions that green start-ups are confronted with when using generative AI:

  • technical immaturity and unclear benefits
  • regulatory uncertainty
  • data security and ethical risks
  • high resource and energy consumption of AI systems
  • limited specialization of generative AI for dual mission business models

The study therefore highlights the ambivalent role of generative AI in environmental entrepreneurship. On the one hand, it can support innovation, efficiency and scaling in green start-ups. On the other hand, it creates new challenges for ventures that aim to combine business success with meaningful environmental impact.

The full article by Kirchner-Krath, J., Jakob, E. A., Neumann, T., Schaarschmidt, M., & Morschheuser, B. (2026). Generative artificial intelligence in environmental entrepreneurship: Emerging roles and challenges to achieve a dual mission. Journal of Small Business Management, 1–51. https://doi.org/10.1080/00472778.2026.2656790 is available open access here.

Borderstep expertise in the research topic of sustainable business models

Borderstep develops concepts and tools for evaluating and further developing business models with regard to sustainability. The focus is on how companies can create both ecological and economic added value.

The institute researches which strategies and structures make sustainable companies successful – from efficiency gains and circular economy concepts to new usage models. This results in practical tools for evaluating the so-called “double dividend.” These approaches are tested in real markets in cooperation with universities and companies.

Data Digits

Sometimes a single number tells the whole story – or at least a pretty interesting one. In cooperation with DataCenter-Insider, we highlight standout figures from the world of data centers.


June 2026

Data center heats residential complex in Berlin-Schöneberg

Since November 2025, around 65% of the total heating demand of the Pallasseum residential complex in Berlin has been covered by unavoidable waste heat from a neighboring data center. The innovative energy concept is considered one of the first large-scale projects of its kind in Germany. The listed building complex, which includes around 500 apartments, uses the continuously generated waste heat from the data center for climate-friendly heating. Peak demand continues to be secured by gas boilers. The project is expected to save more than 800 tons of CO₂ annually.

More:

GASAG Solution Plus

Data digits June 2026: 65% of the heating demand at Berlin’s Pallasseum comes from data center waste heat.

May 2026

Data center electricity consumption reaches new heights

Data digits: 200 billion kWh of electricity were consumed by data centers in the United States in 2025

This estimate represents a threefold increase compared to 2010. Generating this amount of electricity would require roughly ten medium-sized nuclear power plants.
Looking ahead, power demand is expected to rise even further: by 2030, electricity consumption could exceed 500 billion kWh as AI-driven data center expansion continues. At that level, data centers would account for more than 10% of total U.S. electricity consumption.

More:

2024 United States Data Center Energy Usage Report
ESCA Back Pocket Insights


April 2026

Bavaria is Germany’s leading AI hub

Bavaria plays a central role in Germany’s data center market – and is even leading when it comes to AI capacity. The region benefits from a strong technology-driven economy, a diverse industrial base, and a highly developed research and science landscape. With nearly one-fifth of Germany’s AI computing capacity located in Bavaria, the state is positioning itself as a key hub for data-intensive and high-performance applications.

More:

Study: Rechenzentren in Bayern 2025 – aktuelle Marktentwicklungen.

Data digits 02/04/26: 100 megawatts - this ist the level of IT capacity for AI and HPC in Bavaria

March 2026

AI and cloud drive demand for servers

Data Digits: 80 % growth was recorded in the server market in 2025

2025 marked a record year for the global server market. According to the International Data Corporation (IDC), revenues increased by 80%. For comparison, throughout the 2010s, average annual market growth remained in the single-digit percentage range. This exceptional surge was driven by significantly higher demand for high-performance hardware, particularly for cloud services and increasingly for AI-based applications.

More:

IDC: Servers Market Insights


26/02/26

Billions invested in digital infrastructure

A total of €176 billion could flow into European colocation data centers from 2026 to 2031, according to the “State of European Data Centres 2026” report published by the European Data Centre Association (EUDCA).
Growth continues to be driven primarily by hyperscale cloud providers launching new cloud regions and expanding sovereign cloud zones. According to the association, this expansion is expected to accelerate significantly as a result of AI solutions with higher performance intensity.

More:

EUDCA Report

Number of the week: €176 billion are expected to be invested in the expansion of colocation data centers between 2026 and 2031.

19/02/2026

Hyperscalers increase data center capacities at record speed

Number of the week: Nearly 1,300 large data centers are operated worldwide by hyperscale providers

Hyperscale providers currently operate nearly 1,300 large data centers worldwide. Since 2018, this number has tripled. As individual facilities have grown significantly in size, total installed capacity has even quadrupled over the same period. According to recent analysis by the Synergy Research Group, market concentration also remains high: the three leading providers – Amazon, Microsoft, and Google – together account for 58% of global hyperscale data center capacity.

More:

Synergy Research Group


11/02/26

72 large-scale projects for new data centers are currently on the books in Germany

According to a recent analysis by Borderstep Institute and Grass Consulting, the expansion of Germany’s data center landscape is being driven primarily by large-scale developments. The 72 currently known major data center projects alone account for a combined planned capacity of around 5,500 megawatts.

More:

Datacenter Insider

Number of the week: 72 major data center projects are currently known across Germany

05/02/2026

Germany’s colocation capacities are growing significantly

Number of the week: 30 % - that is Germany's share of colocation data center capacity in the EU

An analysis by the European Data Centre Association (EUDCA) indicates that Germany’s data center market will continue to develop very dynamically in the coming years. Colocation capacities in particular are expected to grow by around 15% annually, further reinforcing Germany’s leading position within Europe.

More:

Report: State of European Data Centres 2025


29/01/26

Will small edge data centers bring about a turning point?

So far, growth in the data center sector has been driven almost exclusively by the expansion of ever-larger facilities. By contrast, the capacity of small IT installations has remained largely unchanged for years and currently accounts for around 27% of total data center capacity in Germany. This raises an important question: could the long-anticipated boom in edge data centers finally mark a turning point?.

More:

Study: Rechenzentren in Deutschland

Number of the week: 27% - that's the share of small IT installations in Germany's total data center capacity

22/01/26

AI applications drive data center growth

number of the week: 2,000 megawatts - this is the capacity level that AI and HPC data centers in Germany could reach by 2030

The rapid rise of AI applications is significantly accelerating data center growth. For now, most investments are still concentrated in the United States and China. This is expected to change. With flagship projects such as JUPITER and the planned AI gigafactory, Germany aims to catch up. As a result, up to 2,000 megawatts of AI and HPC capacity could be installed in German data centers by 2030.

More:

Study: Rechenzentren in Deutschland


15/01/26

Data center growth focuses on colocation space

The colocation model is becoming increasingly important in Germany. Today, 50% of all national data center capacity falls into this segment. The strongest momentum comes from hyperscale cloud customers, but government agencies and enterprises are also increasingly relying on rented data center space to house their IT systems.

More:

Study: Rechenzentren in Deutschland

50% - that's the share of colocation in Germany's total data center capacity

08/01/2026

Germany’s data center capacities could triple

Number of the week: 5,500 megawatts the scale of data center capacity currently planned for Germany in the years ahead

Germany’s data center market is experiencing unprecedented momentum. New projects are being announced almost weekly — many with an energy demand comparable to that of a big city. How quickly these facilities will be built remains uncertain, but the scale is enormous: taken together, the planned projects amount to 5,500 megawatts of capacity, equivalent to the output of four nuclear power plants.

More:

Study: Rechenzentren in Deutschland


18/12/25

Frankfurt Rhine/Main remains Germany’s most important data center location

With 1,100 megawatts of installed IT capacity, Hesse — driven by the Frankfurt/Rhine-Main region — currently leads Germany by a clear margin. And this position is set to be strengthened: more than 2,300 megawatts of additional data center capacity are currently planned in the Frankfurt/Rhine-Main area.

More:

Study: Rechenzentren in Deutschland

Number of the week: 1,100 megawatts that's the total data center capacity installed in the German state of Hesse

11/12/2025

High demand for data center capacity

Number of the week: 3% vacancy. That's how limited the available data center capacity is in the Frankfurt region

Frankfurt–Rhein/Main records the lowest vacancy rate among all major data center markets in Europe: just 3%. It remains an open question whether this reflects the region’s exceptional attractiveness—or simply the fact that new capacity isn’t being built fast enough to meet demand.

More:
European Data Centres Figures Q2 2025


4/12/25

Cloud computing is driving the growth of data centers in Germany

Cloud capacity is playing a major role in this growth: Over the past year, cloud installations in Germany increased by 17%, reaching 1,450 megawatts. This surge is driven primarily by multi-billion-euro investments from international tech giants – but national mid-sized cloud providers are also expanding significantly.

More:

Global Data Center Trends 2025

Number of the week: 3000 megawatts that is how much IT connection capacity all data centers in Germany will have in 2025

27/11/2025

AI fuels data center growth

Number of the week: 43% that's how much the capacities of the four largest U.S. data center markets grew in 2025

Driven by accelerating AI adoption, the leading U.S. hubs — Northern Virginia, Chicago, Atlanta and Phoenix — recorded an average year-over-year capacity increase of 43% in the first quarter of 2025 (Source CBRE). Northern Virginia expanded its position as the world’s largest data center market, while Atlanta tripled its capacity and moved into second place.

More:

Global Data Center Trends 2025


20/11/25

Energy demand of data centers continues to rise

Despite continuous improvements in efficiency, the booming data center market is driving a further increase in the sector’s energy demand. In 2025, German data centers are expected to consume 21.3 billion kWh of electricity – more than all hydropower plants in the country produce combined.

More:

Study:Rechenzentren in Deutschland

Number of the week: 21,3 billion kWh that's how much energy data centers in Germany will require in 2025

13/11/2025

Record levels of investment

Number of the week. €15 billion that's how much will be invested in Germany's data centers in 2025

Record-breaking sums are flowing into the country’s digital infrastructure: €12 billion for IT hardware and €3.3 billion for buildings and technical systems. And the momentum continues — with major new investments announced by Google and strong growth among national and regional data center and cloud providers.

More:

Study: Rechenzentren in Deutschland


06/11/25

Germany’s heating networks are still too hot

The usability of waste heat from data centers depends heavily on the temperature of existing heating networks. While modern networks already operate at 70 °C or lower, more than three-quarters of Germany’s district heating systems were still running at 90 °C or higher in 2022, according to the German District Heating Association (AGFW).

More:

DC2HEAT

Number of the week: 90 °C - at this temeratur level, more than three-quarters of Germany's district heating networks were still operating in 2022

30/10/2025

The end of Moore’s Law?

number of the week: 26% - that's how much the energy efficiency of a standard server improved per year between 2017 and 2022

Measured in computing performance (GigaFLOPs) per watt, this remarkable progress reflects years of technological optimization. But many experts believe we’re approaching physical limits: future efficiency gains are expected to slow as miniaturization reaches its boundaries.

More:

Study: Energy Efficiency of Servers


23/10/25

High demands on the reliability of data centres

To minimize the risk of downtime, data centers rely on redundant infrastructure systems – particularly for cooling and power supply. The N+1 redundancy model ensures that for every critical component, one additional backup unit is available. This allows operations to continue smoothly, even during maintenance or in the event of a failure.

More:

Bitkom study: Rechenzentren in Deutschland

Number of the week: N+1 is the redundancy concept that serves as a minimum requirement for more than 70% of all data centers

16/10/2025

Decentralisation as a pillar of a sovereign and resilient digital infrastructure

number of the week 16/10/25. 50,000 small data centers and server room exist in Germany

These smaller IT locations – each with an installed IT capacity of less than 100 kW – are an essential part of a sovereign and resilient digital infrastructure. Operated by companies and public institutions across the country, they strengthen digital independence and local reliability within Germany’s IT landscape.

More:

Bitkom study: Rechenzentren in Deutschland


09/10/2025

EU wants to massively accelerate the growth of data centres

The EU aims to catch up in the global AI race and establish Europe as a leading AI continent. To achieve this, the expansion of AI data and computing infrastructure is set to be massively accelerated. But this ambitious goal comes with significant challenges: limited grid connection capacity, lengthy approval and construction processes, and supply bottlenecks for critical equipment and systems could all slow progress.

More:

EU Commission

Number of the week: 200% - that's how much Europe's data center capacity is expected to grow over the next five to seven years, according the the EU's ambitions

02/10/2025

Independent of the power grid

Number of the week 18/9/25

In the US, experts estimate that by 2030, more than a quarter of data centers could run independently of the public grid. Early projects in Germany point in the same direction. But is this good news for the climate? That depends on how the power is produced. Many current concepts rely on natural gas – which weighs heavily on the carbon footprint. Looking ahead, the U.S. is even considering Small Modular Reactors (SMR). While these may offer a better climate balance, they raise new challenges around safety, costs, and long-term sustainability.

More:

Bloomenergy


25/09/2025

Concrete drives up CO₂ emissions in data centres

Large data center projects contribute to climate change not only during operation but also through the construction of the buildings themselves. Concrete, in particular, has a significant climate impact: cement production accounts for around 8% of global greenhouse gas emissions. There are ways to reduce this footprint, including the development of low-carbon concrete or the use of wood as a sustainable building material.

More:

WWF: Klimaschutz in der Beton- und Zementindustrie

Number of the week 25/09/2025

18/09/2025

Mega data centers in the age of AI

Number of the week 18/9/25

Generative AI comes with enormous performance demands, and this is driving the construction of ever-larger data centers. Colossus is a prime example: with up to one million GPUs, it could reach an IT load of around 1 gigawatt. To put this in perspective: in 2024, the combined maximum IT load of all data centers in Germany was under 3 gigawatts.

More:

Data Center Insider


11/09/2025

Digitisation is driving up demand for hardware

The exact numbers vary by source, but the trend is clear: The number of servers keeps growing year after year. At the same time, their performance is skyrocketing – driven by the increasing use of powerful GPUs (Graphics Processing Units). The result? A massive surge in energy and resource demands across the global data center industry..

More:

Paper: Server stock data

Number of the week 11/09/2025

04/09/2025

Balancing act between cooling and energy efficiency

Number of the week 21/8/25

Why so much? Many facilities use evaporative cooling to reduce energy consumption. While this method improves efficiency, it significantly increases water usage. On average, EU data centers consume 0.58 liters of water per kilowatt-hour of electricity, according to mandatory reporting data.

More:

Facts & Figures: Data Centers in the EU


28/08/2025

Digital infrastructure creates jobs

Digital infrastructure doesn’t just power our online world – it also drives employment. While the construction of hyperscale data centers often impacts national and global labor markets, it’s the small and mid-sized data center operators that play a key role in supporting regional economies.

More:

Bitkom study: Rechenzentren in Deutschland

Number of the week 28/08/2025

21/08/2025

Frankfurt/Rhine-Main further expands its position

Number of the week 21/8/25

Data centers tend to cluster – a phenomenon known as Data Gravity. In Germany, this is especially evident in the Frankfurt/Rhine-Main area, which has firmly established itself as the country’s top location for digital infrastructure. The capital region of Berlin/Brandenburg is a distant second among the most important locations for digital infrastructure.

More:

Bitkom study: Rechenzentren in Deutschland


14/08/2025

Computing power grows significantly

Multi-core technology has fundamentally transformed computing over the past two decades. Since server CPUs moved beyond a single core in 2005, performance and efficiency in data centers have taken a huge leap forward. Today, server processors can feature 128 cores or more – and across Germany’s data centers, more than 160 million CPU cores are in operation. That’s massive computing power – and a sign of how fast digital infrastructure is evolving.

More:

Bitkom study: Rechenzentren in Deutschland

Number of the week 14/08/2025

07/08/2025

Protracted implementation of data centre projects

Number of the week 7/8/25

The industry is under pressure: extended permitting and construction phases are slowing down the expansion of digital infrastructure. In many cases, projects take even longer than the estimated 3.5 years. A look across the Atlantic highlights the contrast: In the U.S., Elon Musk’s Colossus data center – with an IT load of around 100 megawatts – was reportedly built in just 122 days. An extreme case, no doubt, but it shows what’s possible.

More:

Heise Online


31/07/2025

Can Europe keep up in the global AI and infrastructure race?

The scale is staggering: in just one year, the four U.S. tech giants are expected to pour more than $320 billion into artificial intelligence and data center infrastructure.
By comparison, the European AI Champions Initiative announced a total investment of €150 billion over five years at the AI Summit in February 2025. The growing gap raises a pressing question: Can Europe keep up in the global AI and infrastructure race?

More:
The Economic Times

Number of the week 31.7.2025

24/7/2025

Data centre market continues to boom

Number of the week 24/7/25

Driven by the rapid rise of AI applications, cloud computing, and increasing digitalization across all sectors, the demand for IT infrastructure is growing fast. According to recent projections, the total installed IT load in German data centers will reach around 4,850 megawatts by 2030 – more than twice the level of 2022.

More:

Bitkom study: Rechenzentren in Deutschland


18/07/2025

This is how data centers can support the energy transition

These emergency systems, typically used only in outages, hold enormous untapped potential. If integrated intelligently, backup diesel generators, battery systems, and even new technologies like fuel cells could help stabilize the power grid – especially as renewables increase variability in energy supply. By providing reserve capacity and balancing services, data centers could play an active role in the energy transition – not just as energy consumers, but as part of the solution.

More:
BMWK Study: Stand und Entwicklung des Rechenzentrumsstandorts Deutschland

Number of the week 18/7/25

11/07/2025

German data centres set standards in energy efficiency

Number of the week 11.7.25

That means: for every unit of power used by IT equipment, an additional 46% is consumed for cooling, backup power, and other facility infrastructure. A lower PUE indicates higher efficiency – and in this case, Germany is ahead of the curve. By comparison, the global average PUE in 2024 was 1.56, according to research from the Uptime Institute – giving Germany a measurable lead in energy-efficient data center operation.

More:Bitkom Study


04/07/2025

Heat from the cloud: climate-friendly heating

In Germany, the use of waste heat from data centers is becoming increasingly important. The potential for the heat transition is considerable – even if there are still challenges, such as connecting to suitable heating networks. The DC2HEAT research project estimates that up to 300,000 homes could be heated with data center waste heat by 2035. This would correspond to an annual saving of around 650,000 tons of greenhouse gases.

More:
DC2HEAT

Number of the week 4/7/25

27/06/2025

More computing power for AI: data centres in transition

Data Center Number of the Week 27/6/25

While Germany plays a strong role in scientific computing, dedicated AI infrastructure is still emerging. This 15% shows where we stand – and how much room there is for growth as AI becomes a central driver of digital infrastructure. By comparison, AI systems in the U.S. already account for ~50% of total capacity – a clear sign of where the journey is heading.

More:
Data centre study of the Berkeley Lab
Bitkom study: Data centres in Germany


Borderstep Expertise

The Borderstep Institute has been calculating the electricity consumption of data centres since 2007

We made the calculations with the help of a comprehensive structural model of the data centre landscape in Germany and Europe. The Borderstep Institute developed it and continues to update it regularly since 2012.

The model describes the data centres in different size classes in terms of their equipment with different server types, storage systems and network infrastructures.

A distinction is also made between cloud, edge and traditional data centres. The age structure of the servers and the power consumption of the various server types in different operating states are also taken into account. Building technology such as air conditioning, power supply, UPS, etc. is also modelled.

More about the Borderstep Institute’s research

Green Startup Report 2026 now available in English

The Borderstep Institute has now published the Green Startup Report 2026 in English. The latest research findings on the development of the green start-up ecosystem in Germany are therefore now available to an international audience.

Growth Amid Declining Start-up Dynamics

The report analyzes the dynamics of sustainable business creation and shows that the green start-up community continues to grow, now comprising around 4,700 companies. At the same time, current data indicates a decline in start-up activity – despite strong technological innovation and the significant climate protection potential of these ventures.

The Green Startup Report is based on a long-term scientific observation of green entrepreneurship in Germany, conducted since 2013. It provides a key data foundation for policymakers, businesses, and academia to foster sustainable innovation and advance the transition towards a climate-neutral economy.

Strengthening International Visibility and Policy Relevance

With the English edition, the international visibility of the findings is further strengthened, and the exchange on green start-up ecosystems is encouraged.

The Green Startup Report 2026 is now available for free download.

You can find more information about the English edition of the GSR 2026 here.

Outlook: Green Startup Report 2027

The next Green Startup Report 2027 is already in preparation and will once again be published with the support of Borderstep’s partner network.

Together, we aim to further strengthen the role of green start-ups as drivers of ecological transformation in political decision-making processes and, in doing so, continue to develop suitable framework conditions for sustainable business models.

Borderstep develops sustainability label for data centres in the EU – Commission launches call for feedback

As part of the EUDCEAR project, the Borderstep Institute, together with its partners EY and AIT, has developed the first EU-wide sustainability label for data centers. Based on data from Energy Efficiency Directive (EED) Reporting and a comprehensive stakeholder dialog, an innovative rating system was created that takes local contexts across Europe into account.

First EU sustainability label for data centers

sustainability label for data centres

Until now, there has been no label that comprehensively assesses the sustainability of data centers in the EU. Sustainability cannot be captured solely by simply calculating indicators such as PUE (Power Usage Effectiveness), WUE (Water Usage Effectiveness), ERF (Energy Reuse Factor) or REF (Renewable Energy Factor). Rather, regional differences, such as the availability of green electricity or the sustainability of water use, must be taken into account.

For this reason, Borderstep has developed a multidimensional label that holistically evaluates various aspects of sustainability. This label was revised several times during the project based on stakeholder feedback and was published in the second EUDCEAR report, Assessment of next steps to promote the energy performance and sustainability of data centres in EU, including the establishment of an EU-wide rating scheme.

EU Commission launches consultation on sustainability label

The European Commission has now updated and simplified the label and launched a public consultation on the matter. Interested parties can submit feedback until April 23, 2026: EU Consultation on the Rating System for Data Centers

Next Steps: Minimum Requirements for Data Centers

Building on the findings of EUDCEAR, minimum standards for data center sustainability are currently being developed. The study is led by Viegand Maagøe, while Borderstep is taking the lead on technical issues and proposals for future minimum standards.

Borderstep: 20 years of expertise in digitisation and sustainability

The Borderstep Institute has nearly 20 years of research experience in the fields of digitisation and sustainability. This makes it one of the world’s most renowned research institutions specializing in the sustainability of data centers and artificial intelligence.

Since 2007, the Borderstep Institute has been analyzing the electricity consumption of data centers in Germany and Europe. Its analysis is based on a proprietary structural model that has been regularly updated since 2010. The model takes into account server types, age structures, and building systems such as cooling and power supply. In this way, Borderstep provides reliable figures and scenarios regarding the development of digital infrastructures and their sustainability.

Through projects such as TEMPRO, DC2HEAT, DCESS, EUDCEAR and Data Centre Minimum Performance Standards – EU , the institute is developing solutions for climate-friendly and energy-efficient digitalization.

Borderstep expert Dr. Ralph Hintemann on CNN: Data centers and their impact on the local climate

The growing number of data centers, particularly those dedicated to artificial intelligence (AI), not only consume large amounts of energy but also have a direct impact on the local climate. A recent study by the University of Cambridge shows that these centers can create “heat islands” and raise land surface temperatures by up to 9 degrees Celsius. The findings were recently picked up and discussed by CNN. Dr. Ralph Hintemann and Simon Hinterholzer from the Borderstep Institute were asked by CNN, as international experts on data centers, to assess the results.

Study: Data Centers as Local Heat Sources

The study analyzed temperature data from the past 20 years and compared it with the locations of large data centers. The result: After a data center went online, the land surface temperature rose by an average of 2 degrees Celsius. And in extreme cases by as much as 9 degrees Celsius. This affects not only the immediate surroundings but also areas within a radius of up to 10 kilometers.

Dr. Hintemann: “Emissions from electricity generation remain the bigger problem”

Speaking on CNN, Dr. Hintemann emphasized that the study provided “interesting figures,” but that the reported effects seemed “very high.” He pointed out that CO₂ emissions resulting from electricity generation for data centers continue to pose the greater challenge for climate protection.

The study shows that we must not ignore the local impacts of data centers. At the same time, we must continue to focus on reducing the greenhouse gas emissions generated by these facilities’ energy consumption. – Dr. Ralph Hintemann

Call for Sustainable Solutions

Against the backdrop of the rapid growth of the AI industry, the study underscores the urgency of developing sustainable solutions for data center operations. Dr. Ralph Hintemann and Simon Hinterholzer argue that the discussion regarding the environmental impact of data centers must be approached holistically.

It’s not just about local heat-related effects, but also about the global climate balance. We need innovative approaches to reduce energy demand and make greater use of renewable energy. – Simon Hinterholzer

Borderstep Institute: Research for Sustainable Digitisation

The Borderstep Institute has been conducting research for years on the environmental and social impacts of digitisation. The inclusion of Dr. Ralph Hintemann and Simon Hinterholzer in the CNN report underscores the international relevance of the institute’s work.


You can read the CNN article Scientists have found an alarming environmental impact of vast data centers here.

Click here to access the Cambridge University study The data heat island effect: quantifying the impact of AI data centers in a warming world.

Call for Papers: EURAM 2026

EURAM 2026 | 16–19 June 2026 | University of Agder, Kristiansand (Norway)

As part of the European Academy of Management (EURAM) Conference 2026, the Special Interest Group “Innovation” (SIG 06) invites submissions for the track “Innovation for Sustainability, Circularity and Green-tech.”

Under the conference theme “Navigating High Waters – Managing in an Age of Disruption”, this track addresses how companies can turn ecological and societal challenges into opportunities for sustainable innovation.

The emphasis is on research exploring sustainability-oriented innovation processes, circular business models, green technologies and product-service systems that contribute to the sustainable transformation of economy and society.

The track is led by an international research team, including Prof. Dr. Klaus Fichter (Borderstep Institut), Prof. Dr. Erik G. Hansen (Johannes Kepler University Linz & Leuphana University Lüneburg), Prof. Dr. Frank Tietze (University of Cambridge) and other partner institutions.

Thematic areas (selection)

  • Sustainability-oriented innovation and entrepreneurship
  • Circular innovation & green-tech
  • Sustainable business models and ecosystems
  • Digitisation, IoT and smart products as enablers for sustainability
  • Transitions to sustainable product-service systems
  • Diffusion, scaling and IP-strategies in the context of SOI (sustainability-oriented innovation)

Submission of papers until 7 January 2026

Submissions can be made until 7 January 2026, 14:00 Belgian time, via the EURAM conference platform. Please refer to the authors’ guidelines.

All information on the Call for Papers can be found here.

About EURAM

The European Academy of Management is a scholarly society founded in 2001. Its goal is to advance the academic discipline of management in Europe. With members from 60 countries, EURAM is highly diverse and offers its members the opportunity to enrich debates on a wide range of topics and traditions in management research.

About the conference theme “Navigating High Waters”

The theme of EURAM 2026, “Navigating High Waters,” reflects the current environment for organizations and management. A world characterized by high uncertainty, complex interconnections, and disruptive change.

  • Companies are no longer confronted with just “classic” management tasks, but with profound upheavals: geopolitical risks, rapid technological advances, demographic shifts, and increasing regulatory density.
  • In these “stormy seas,” management needs new skills: agility, resilience, innovation, and a holistic understanding across all functions and organizational levels.
  • The term “high waters” symbolizes phases in which familiar management paradigms are no longer sufficient. Instead, broad perspectives are required: strategy, marketing, supply chains, human resources, and more.

Green Startup Report 2025 now available in English

The English edition of the Green Startup Report 2025 by the Borderstep Institute is now available. It provides international readers with access to the latest data and insights on the development of green start-ups in Germany.

The study is based on a comprehensive empirical analysis: more than 12,000 young companies were examined, along with over 50,000 commercial register entries related to investment activity.

Sustainability continues to gain importance

The Green Startup Report 2025 highlights key trends and findings:

  • One in five start-ups in Germany now has a clear focus on sustainability, environmental protection, or climate action.
  • The average climate protection potential of a so-called transformation-oriented green start-up amounts to around 30,000 tons of CO₂e per year, representing an economic value of about €2.4 million annually per start-up.
  • Women hold 22 % of leadership positions in green start-ups, compared to 17 % in non-green start-ups.
  • Already 73 % of fund managers consider climate aspects in their investment decisions.

With this English edition, the report offers a robust data foundation for international research, collaboration, and investment in sustainable entrepreneurship.

Outlook: Green Startup Report 2026

The next edition of the Green Startup Report is about to cime forward. It will be published in spring 2026 and will once again provide updated data and new insights into the dynamic growth of green entrepreneurship in Germany.

Your Contacts

Prof. Dr. Klaus Fichter
  • Founder and Director
  • +49 30 306 45 100-0
Dr. Thomas Neumann
  • Senior Researcher
Tim Grothey
  • Researcher

Borderstep News

EMSIS: Intelligent Energy Management for Server Systems 07.07.2026

Millions of server systems consume energy every day - even though many of them are not performing any operational tasks at certain times. The newly launched EMSIS research project is developing a smart solution to safely tap into this potential. More

Award for Research on Sustainable Business Models 15.06.2026

A research paper co-authored by Borderstep Senior Researcher Dr. Tobias Froese and Borderstep Research Fellow Prof. Dr. Florian Lüdeke-Freund has received the Sustainability & Societal Impact Award at the Business Model Conference 2026. More

Best Paper Award for Borderstep at ICT4S 2026 12.06.2026

Borderstep researchers Dr. Severin Beucker and Simon Hinterholzer have received the Best Paper Award at ICT4S 2026. Their award-winning research explores the sustainability implications of Europe's data centre boom and the implementation of the Energy Efficiency Directive. More