Luxembourg, the data hub of Europe

Luxembourg cloud benefits

High end technology hub

Low latency

Luxembourg is located in the middle of the “Golden Ring”, at the heart of the internet hubs of Europe: Amsterdam, London, Brussels, Frankfurt and Paris. Businesses in the country can take full advantage of its fiber network and the low latency connections with the major European business centers. Round-trip times (RTT) are around 5 ms with Amsterdam, London, Brussels, Frankfurt and Paris.
Redundant high-capacity fiber optic

Luxembourg has 16 different “Indefeasible Right of Use” (IRU) fiber optic networks linked to the major European Capitals, that offers a high level of redundancy and reliability.
Ultra-high bandwidth

Luxembourg positions itself as the European leader in ultra-high bandwidth. The country is rolling out the next generation Internet networks with ultra-high broadband all over the country, bringing between 100 Mbps and 1 Gbps to the population.
Data Center of Europe

Luxembourg has one of the most modern data center parks in Europe with more shared IT rooms than Brussels or Stockholm. The country has some 20 data centers in operation (most Tier-IV and Tier-III), all interconnected with high speed low latency connections for a high redundant service. With high availability and state-of-the art infrastructure, Labgroup makes easy for a businesses to serve all the major European markets.

Attractive business place

Fiscal considerations
Luxembourg has an attractive IP tax law: “[…] companies either residing or carrying on activities in the country can benefit from the IP regime according to which 80% of the net income and capital gains generated by, or issued from, copyrights on software, patents, trademarks (including “service marks” and “domain names”) designs, patterns and models, acquired or instituted after 31 December 2007, shall be exempt from tax, while only 20% shall be taxed at the ordinary combined (income tax and municipal business tax) rates.”

The VAT rates (value-added tax, a form of consumption tax in Europe) are the lowest in Europe, with a standard rate of 15%. For B2C transactions, companies operating their business out of Luxembourg can benefit from this very competitive VAT rate for all electronic services supplied to any EU consumer.

Skilled workforce
Luxembourg ranks 1st in Europe for employee productivity (OECD, “Estimates of labour productivity levels”, Jan. 2010). Luxembourg’s employees are highly skilled, multilingual and multicultural.
Strong R&D environment

Luxembourg has a strong research-led environment with an international University and two important Public Research Centres. The goal is to encourage technical and scientific cooperation as well as technology transfer between the academic, the public and the private sectors. The National Agency for the Promotion of Innovation and Research, Luxinnovation, helps companies in guidance on innovation and R&D funding.

Luxembourg at a glance

Luxembourg data center

luxembourg datacenter

Luxembourg data centres

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– Location wise
– High standard of living
– Financial attractiveness
– State of the art ICT infrastructure
– Well educated and multicultural workforce


Discover more news about Luxembourg and why it is the ePlace to be in Europe.

To learn more about Luxembourg as the Data Center of Europe, read the PwC Study “Luxembourg: Where Else ?”