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The demand for data center capacity driven by artificial intelligence is prompting a surge in debt offerings in Europe, with at least five issuers expected to launch asset-backed or commercial-mortgage backed securities in 2026, potentially totaling €3-€5 billion. This move aims to enhance financing as Europe strives to compete with the US and China in data center development, despite facing regulatory challenges and operational risks. Analysts believe that the strong demand for data centers will persist, despite concerns about oversupply and AI valuation bubbles.