According to DCD, Austrian data center supplier Electric Power Systems has launched Dendora, a prefabricated modular data center with a wooden frame that offers 10-40kW capacity. The company aims to reduce greenhouse gas emissions by using renewable materials and local Austrian wood, with features including free cooling systems and waste heat utilization. This development represents a notable shift toward sustainable construction in an industry traditionally dominated by steel and concrete.
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Understanding Timber Construction in Critical Infrastructure
The move toward wooden data centers represents a significant departure from traditional construction methods that have dominated the industry for decades. Modern engineered wood products like cross-laminated timber (CLT) and glulam (glued laminated timber) offer structural strength comparable to traditional materials while providing substantial sustainability benefits. These materials actually sequester carbon rather than emitting it during production, unlike conventional steel and concrete which are responsible for significant greenhouse gas emissions in their manufacturing processes. The use of lumber in critical infrastructure represents a return to natural materials enhanced by modern engineering and treatment processes.
Critical Analysis of Wooden Data Center Viability
While the sustainability benefits are compelling, several critical challenges require careful consideration. Fire safety remains the most obvious concern, particularly given data centers’ high electrical loads and the catastrophic consequences of facility failures. However, proponents correctly note that properly engineered timber actually performs better in fires than many assume – mass timber chars on the surface, creating a protective layer that maintains structural integrity longer than steel, which can rapidly lose strength when heated. The real question isn’t whether wood burns, but whether comprehensive fire suppression systems and compartmentalization can mitigate risks effectively.
Other concerns include moisture management, pest resistance, and long-term durability in environments requiring precise climate control. The integration of wooden structures with sophisticated cooling systems and power distribution presents engineering challenges that traditional metal frames don’t face. Additionally, while wood sequesters carbon, the full lifecycle analysis must account for treatments, finishes, and eventual disposal or recycling.
Industry Impact and Competitive Landscape
The emergence of multiple players in the timber data center space – including Vertiv’s TimberMod, EcoDataCenter in Sweden, and now EPS in Austria – signals a maturing market segment rather than isolated experiments. This trend aligns with broader construction industry movements toward mass timber in commercial and even high-rise buildings. The competitive differentiation appears to be shifting toward sustainability credentials as major cloud providers and enterprises face increasing pressure to meet environmental targets.
For smaller and edge deployments like EPS’s 10-40kW modules, the timber approach may find quicker adoption where local sourcing and rapid deployment offer advantages. The modular prefabricated approach also complements timber construction well, as factory-controlled environments can ensure precise manufacturing and treatment quality that might be challenging on traditional construction sites.
Market Outlook and Adoption Challenges
The success of timber data centers will ultimately depend on overcoming both technical and perceptual barriers. While early adopters in environmentally conscious European markets may embrace the concept, broader global adoption will require demonstrated reliability over multiple years and through various environmental conditions. Insurance and financing communities will need to develop comfort with the risk profiles, and building codes may require updates to accommodate these non-traditional structures.
Looking forward, we can expect to see hybrid approaches emerge, combining timber structures with traditional materials in critical areas. The market for sustainable data center solutions is growing rapidly, and timber construction represents one of several parallel approaches including advanced cooling technologies, renewable energy integration, and circular economy principles. The companies that succeed will be those that can balance undeniable sustainability benefits with uncompromising reliability and performance.