DATA CENTRE

UPDATE
H2 2023

FEATURED IN THIS UPDATE

• PRIMARY MARKET OVERVIEWS: Mumbai, Tokyo, Sydney, Singapore, Seoul, Kuala Lumpur, Jakarta, Hong Kong
• SECONDARY MARKET SPOTLIGHTS: Bangkok, Manila, Auckland, Ho Chi Minh
• ASIA PACIFIC DATA CENTRE MARKETS MATURITY INDEX: 30 markets covered

UPDATED 15 February 2024 (Q4 Update)

0
 AUSTRALIA GREATER CHINA

ALEX MOFFATT JOHN SIU

OUR PEOPLE Director, Alternatives, Managing Director,
Australia Hong Kong

CONFIDENTLY GLOBAL, ANDREW CHAN DAVID CHEN

Managing Director, Assistant Manager,
Head of Valuation & Advisory Valuation Services,
Services, Greater China Taiwan
Our Asia Pacific Data Centre Advisory Team, as part of our Global Data Centre Advisory Group, has created optimal
solutions and location strategies to address highly complex IT requirements for enterprise clients across the region and INDIA INDONESIA
globally since 2004. Our multi-disciplined team, consisting of experts across a spectrum of advisory services, focus GAURAV PANDEY WIRA AGUS
specifically on the data centre market for seamless delivery. Every client requirement is unique; we have the experience to Associate Director, Director,
develop long-term strategies that drive wise investment decisions for enterprise users, colocation providers, hyperscalers, Leasing Agency, Industrial & Land Sales,
India Indonesia
sector investors and developers.

ASIA PACIFIC JAPAN KOREA

VIVEK DAHIYA TODD OLSON PRITESH SWAMY TIMOTHY GREGERSEN JOHN PRITCHARD
Head of Asia Pacific Executive Sponsor, Director, Data Centres Senior Manager, Head of Tenant
Data Centre Advisory APAC DCAT & Managing Research & Advisory, Investment Sales, Advisory Group,
Team (APAC DCAT) Director, Japan & Korea APAC & EMEA Japan Korea

MALAYSIA NEW ZEALAND

REBECCA JUNG JAMES NORMANDALE GORDON MARSDEN TIFFANY GOH TODD HANRAHAN
Associate Director, Alternative Assets Lead, Head of Capital Markets, Country Manager, Head of Project &
Business Development Project & Development Asia Pacific Malaysia Development Services
Services, Asia Pacific Services, Asia Pacific New Zealand

PHILIPPINES SINGAPORE
CHRIS CUFF SHIVANI JADON DEEPENDRA SHUKLA THERESE CASTRO BRENDA ONG
Data Centre Account Assistant Vice President Director, Data Centre & Director, Head of Executive Director,
Management, Asia Pacific Data Centre & Cloud Cloud Advisory Tenant Advisory Group, Logistics & Industrial,
Advisory Philippines Singapore

GLOBAL EMEA AMERICAS THAILAND VIETNAM

ANDREW FRAY TRANG BUI
JACOB ALBERS JESSICA HOWE GARETH POWELL
International Partner & General Manager,
Head of Alternatives Vice President, Global Country Head,
Head of EMEA Data Vietnam
Insights, Global Think Tank Growth Verticals Thailand
Centre Advisory Team
1
INTRODUCTION

Asia Pacific* has surpassed 10GW of operational capacity

ASIA PACIFIC DATA CENTRE UPDATE – H2 2023 with ~800MW of new capacity added in H2 2023 bringing
the total to 10.6GW
Since our last H1 2023 update, the operational capacity of Asia Pacific’s* data centre markets ~80% of operational capacity is
has surpassed the 10GW mark, with ~800MW of new supply added in H2 2023 bringing the concentrated in the region’s
top 5 markets – Mainland
total regional live capacity up to 10.6GW. We continue to witness a robust development
China (3.9GW), Japan (1.3GW),
pipeline with 3.9GW under construction throughout the region and 9.4GW in planning At a micro level, Tokyo, with
Australia (1.2GW), India
stages, which is an increase of ~900MW since our last update. 1,028MW currently in operation,
(1.1GW) & Singapore (962MW)
has joined Beijing (1.8GW) &
Many markets across Asia Pacific continue to witness rapid growth in terms of both
Shanghai (1.4GW) as the only
operational and development capacities. Almost 80% of operational capacity is three cities in the region with
India, with 1,074MW currently
concentrated in the region’s top 5 markets – Mainland China (3.9GW), Japan (1.3GW), >1GW operational capacities.
in operation, has joined
Australia (1.2GW), India (1.1GW) & Singapore (962MW). In H2 2023, India joined Mainland
Mainland China (4GW), Japan
China, Japan and Australia as >1GW-sized markets and we anticipate that Singapore will (1.3GW) & Australia (1,168MW)
Singapore is expected to enter
reach this status sometime in 2024 with 962MW currently live. as >1GW-sized markets.
the GW range in 2024 with a
More than 50% of under-construction activity regionally is concentrated in Mainland China current operational capacity of
and India. However, with a development pipeline of 2.9GW & 1.7GW of combined under 973MW.
construction and planned activity in India and Japan respectively, we will see these markets
on track to rival Mainland China as the only three markets in Asia Pacific to grow larger than
3GW over the next 5 years. However, due to the ongoing issues with power availability in
Japan, especially in Tokyo, there may be delays in the overall timeline for the market to
>50% of under-construction activity
reach this milestone.
is concentrated in Mainland China
Malaysia is the fastest growing market in the region with ongoing interest and growth in (952MW) and India (1.1GW)
both Kuala Lumpur and Johor. With 1.2GW of development pipeline underway, Malaysia,
which currently has 189MW of operational capacity will see a 600% growth in the next 5
years.
Malaysia is the fastest growing market in the region.
In this report, our Asia Pacific Data Centre Market Maturity Index forecasts the potential
With 1.2GW of development pipeline underway,
evolution of 30 macro level markets across the region over the next decade and we provide Malaysia, which currently has 189MW of operational
an analysis of where much of the growth in the region will take place. The report will also capacity will see a 600% growth in the next 5 years.
delve in detail into eight prominent primary markets – Mumbai, Tokyo, Sydney, Singapore,
Seoul, Kuala Lumpur, Jakarta and Hong Kong – and provide an overview of four secondary
markets worth noting – Bangkok, Manila, Auckland and Ho Chi Minh.
*For all analysis, Asia Pacific region includes Australia, Mainland China, Hong Kong, India, Indonesia, Japan, Malaysia, New
(For quarterly updates on the markets we operate in, including key indicators, view our Zealand, Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam only.

capabilities brochure).

2
H2 2023 UPDATE
ASIA PACIFIC
Our Asia Pacific Data Centre Maturity Index tracks 30 data centre markets across Asia Pacific* to compare their current maturity
status as well as their potential evolution over the next decade.
This index is a statistical comparison that evaluates markets on more than 20
parameters, including IT MW capacities of each market’s operational, under
construction, planned and land banked stages of development, the summation
of which is visually indicated by the size of each market’s circle on the graph.
The index also factors vacancy rates, number and average size of data centres
based on their status, number of operators that have operational data centres in
each market, and the new operators that are in process to enter the market.
These data points are stacked into a parameter matrix and weighted to derive
their overall growth score - the higher the growth score, the more evolved the
market we forecast it will become. The commonly used references to describe
data centre markets as primary and secondary have been broken down further
into the below four categories:
POWERHOUSE markets are the largest in region in terms of their overall data
centre capacity and extensive development pipelines. Since our latest H1 2023
update, Mumbai overtook Beijing as the largest powerhouse market in Asia
Pacific. Although its current live capacity is not as high as Beijing, Tokyo,
Shanghai and Sydney, markets that have also retained their powerhouse status
in H2 2023, a substantial development pipeline of almost 1.5GW and reports of
extensive land banked sites in Mumbai show the potential for this fast-growing
market to become a 3GW+ data centre epicentre in the coming years whilst the
other four are looking to become >2GW-sized markets upon the full
development of their existing pipeline. The live capacity of the five powerhouse
markets account for 50% of the operational data centre capacity in Asia Pacific
and about 40% of the under construction and planned capacities combined.
ESTABLISHED markets, Singapore, Seoul, Kuala Lumpur, Johor, Jakarta, Hong
Kong, Melbourne, Chennai and Hyderabad, are prominent markets that show
potential to become close to or exceed 1GW-sized markets for
their strategic geographic locations and connectivity. All nine markets in the
established category account for about 25% of the total operational capacity in
the region. Since our last update, Kuala Lumpur has jumped from the developing
to established category as operators explore or continue to evaluate the market
as part of their regional expansion strategies. Surprisingly, when taking into
consideration the development and land banked pipeline in Kuala Lumpur, we
foresee in the coming years that it has the potential to overtake Johor, which has
recently been in the spotlight as a notable data centre market in Asia Pacific.
With the exception of Singapore, whose growth has been hindered by the recent
moratorium and limited supply, all established markets are growing rapidly.
DEVELOPING markets, Delhi, Osaka, Guangzhou, Bangkok and Manila, typically
have smaller live capacities and therefore account for less than 10% of the
operational capacity in Asia Pacific. About 90% of the operational data centres
in this category are smaller than 10MW capacity. However, local demand is
growing in these markets and operators are planning ahead to meet future
requirements. As a result, these markets typically have higher vacancies because
the absorption rates are slower than the new supply that is being added.
EMERGING markets cumulatively account for under 5% of the total operational
capacity across the 11 markets we track in this category. Since our last update,
we have included Batam, which has gained the attention of operators as a
“spillover” market reaping the benefits of its proximity to Singapore. We also
note that development and planning activity is growing faster than previously
forecast in Taipei and anticipate that both Taipei and Batam will progress into
the developing category in the coming years. The development pipeline in
emerging markets is restrained owing to the conservative approach by
*For all analysis, Asia Pacific region includes Australia, Mainland China, Hong Kong,
operators in entering these markets until more evidence of demand can justify India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, South Korea,
considerations for entry. Taiwan, Thailand and Vietnam only.
3
 NORTHERN VIRGINIA (NoVa): NoVa has continued its status as the preeminent
North American data centre market despite growing headwinds for land and
power availability. Recognised as the global leader in data centre capacity,
NoVa’s operational capacity of 4.6GW is 130% higher than Beijing (2GW), the
largest market in Asia Pacific. Moreover, the NoVa market alone is equivalent to
40% of the cumulative operational capacity and 35% of under construction
capacity in Asia Pacific. Despite having extensive operational data centre
capacity, NoVa continues to maintain amongst the lowest vacancy rates globally,
at under 1%. This would suggest a roadmap for Asia Pacific powerhouse markets
to continue to grow in scale while keeping steady occupancy going forward.

SUMMARY: The primary markets in Asia Pacific continue on a steep growth

trajectory with powerhouse markets Mumbai, Beijing and Tokyo forecast to grow
into 3GW-sized markets. While many data centre markets across the region
show significant capacities across all stages, including operational, under
construction, and planned, they remain much smaller when compared to NoVa,
which is the largest data centre market in the world. From a region-to-region
comparison perspective, Asia Pacific’s population is ten times greater than that
of the U.S., with similar operational capacities of around 10GW. This signifies that
there is plenty of headroom for further growth and plenty more opportunities for
the data centre sector in Asia Pacific.

The tailwinds provided by technological advancements in recent years such as

the implementation of cloud computing, deployment of 5G networks,
government digitization initiatives and increasing mobile and internet
penetration, especially in fast growing populations, have significantly
accelerated the demand for data centres globally. However, the introduction and
growing adoption of artificial intelligence (AI), and more significant;y, generative
AI, is expected to drastically increase demand for more data centres, especially
campuses that can cater for larger capacities, globally. Whilst the U.S. has
started to see the tangible impact of AI as the next biggest influence on the
sector since cloud computing, Asia Pacific is slower in experiencing its effect just
yet. However, we anticipate that there is potential for AI to double the demand
for data centres in the region over the next few years.
Total capacities indicated include operational, under construction, planned and land banked IT loads for
Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and exclude Captive & ICT facilities.

4
ASIA PACIFIC POWERHOUSE MARKET
KEY INDICATORS*
14 OPERATORS, 38 DATA CENTRES 537MW IN OPERATION
1,473MW UC / PLANNED 28% COLO VACANCY
*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.
MARKET OVERVIEW
Mumbai remains as the data centre capital of India, taking up over 50% of the nation’s
operational capacity and close to 50% of India’s total development pipeline of under
construction and planned activity. In H2 2023, 75MW of operational capacity was added to the
market with announcements from existing operators as well as new entrants, such as Colt DC,
and more than 300MW under construction and planned. As a result, the vacancy rate of 19%
reported in our H1 2023 update has increased to 28%. However, we anticipate that this will
drop throughout the year due to increasing demand from enterprises and the government.
Mumbai is expected to see a further 212MW go live in 2024, with Sify, NTT and CtrlS
cumulatively taking up almost half of this upcoming IT load and announcing large investments
into India’s data centre market. Some of the new entrants in Mumbai including Colt,
AdaniConnex, & DigitalEdge have plans to build large data centre campuses in Mumbai,
cumulatively adding ~700MW of capacity when fully built. India's Reliance Industries
(RELI.NS), have committed to invest more than US$120M towards Mercury Holdings SG Pte, a
JV with Brookfield Infrastructure and Digital Realty.
NTT is the largest operator with a market share of 41% in terms of operational capacity,
followed by CtrlS at 14%. Last year, the Japanese company who has its India head quarters
located in Mumbai to support the demanding ICT requirements of hyperscalers and
enterprises in the market, committed to invest US$11B towards expanding or upgrading its
data centres globally, till 2027 with US$2B allocated specifically for the India market.
The Maharashtra state government’s state specific data centre policy is still under
consideration however the Information Technology and Information Technology Enabled
Services Policy of Maharashtra State-2023 has been formally released. The policy includes
data centre under offering incentives and waivers to data centre developers, operators and
data centre parks. The benefits include stamp duty exemptions, additional Floor Space Index,
power tariff subsidy, etc.
POWAI
THANE-
BELAPUR ROAD
Colo
PANVEL
Hyperscale Cloud
Telco
ECOSYSTEM DEVELOPMENTS
• Adani Group has announced a $6B plan to expand data centre infrastructure across Maharashtra, including
Mumbai. With data centre development operated under the AdaniConneX brand in partnership with
EdgeConneX, Adani Group has signed an MoU with the local government to build 1GW of data centre capacity
over the next ten years. Adani Group will also supply renewable power to these developments through its
extensive energy infrastructure.
• Amazon Data Services (ADS), an arm of AWS, has leased a 4-acre parcel of land in the Powai suburb of
Mumbai. Last year, ADS signed a landlease for an adjacent 5.5-acre parcel from the same owner, Larson &
Toubro. With an all-in landlease total of $180.5M over the course of a 15-year period, ADS can move forward on
data centre development of this site as well as its project in Thane, where it acquired 54-acres last year.
• CapitaLand India Trust secured a $156M construction loan from JP Morgan for the 108MW DC Navi Mumbai 1.
• Colt Data Centre Services (DCS) announced its first data centre in India in Navi Mumbai, built to Tier 3
standards and supporting 118MW of IT power capacity over 15 acres of land. The first phase of 18MW has
commenced and is available.
• Digital Connexions, a newly formed JV between Reliance Industries, Brookfield Infrastructure and Digital
Realty, has acquired 2.15 acres of land in Mumbai to build a 40MW data centre.
• Equinix has invested $42M in a new data centre in Mumbai, to drive digital transformation and bolster digital
capabilities for both local and international businesses. This will be Equinix’s fourth facility in the market.
• Yotta Data Centres plans to launch a GPU cloud service utilizing its data centres in Navi Mumbai and Delhi.
The service will be the first of its kind in India, with Yotta also planning further expansion plans for its data
centre portfolio across India, Bangladesh and beyond.
 RECENT PROPERTY SALES MUM INDIA
H2
23
SITE SIZE SALE DATE SALE PRICE (US$) BUYER SELLER

Powai Landlease 4 acres Oct 2023 $25.6M (total payment) AWS Larson & Toubro

Mahape Land 2 acres Jul 2023 $5.8M CtrlS Greenscape Developers

CONTACTS
CONSTRUCTION UPDATES* Click on each name to email them
OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ VIVEK DAHIYA
Head of Asia Pacific Data Centre
BBY1 Navi Mumbai 32,500m2 8MW U/C - 2024 Advisory Team
vivek.dahiya@cushwake.com
Aroli Data Centre
Navi Mumbai 16,000m2 30.5MW U/C – 2024
Campus PRITESH SWAMY
Director, Research & Advisory,
Mumbai Hyperscale Data Centres,
Navi Mumbai 35,000m2 37MW U/C - 2025
Datacenter 5 APAC & EMEA
pritesh.swamy@cushwake.com
Mumbai 1 Navi Mumbai 80,000m2 12MW (30MW) U/C - 2024
SHIVANI JADON
NMP 1 Navi Mumbai 33,000m2 2.5MW U/C - 2024 Assistant Vice President,
Data Centre & Cloud Advisory
Airoli Navi Mumbai 60,000m2 15MW (60MW) U/C - 2025 shivani.jadon@cushwake.com

NTT Mumbai DC 10 Chandivali 50,000m2 25MW U/C – 2025 GAURAV PANDEY

NTT NAV 2 DC13 Navi Mumbai 50,000m2 25MW U/C – 2025 Assistant Vice President,
Campus Data Centres
gaurav.pandey1@cushwake.com
Navi Mumbai Campus Navi Mumbai 75,000m2 60MW U/C
DEEPENDRA SHUKLA
Sify Airoli 2 11,148m2 4.8MW U/C Director, Data Centre & Cloud
Navi Mumbai
Sify Rabale Tower 5 50,000m2 38.8MW U/C
Advisory
deependra.shukla@cushwake.com
STT Mumbai DC 4 Navi Mumbai 32,000m2 35MW U/C

Web Werks Mumbai 2 Navi Mumbai 7,620m2 6.3MW U/C

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
6
ASIA PACIFIC POWERHOUSE MARKET
KEY INDICATORS*
33 OPERATORS, 110 DATA CENTRES 1,028MW IN OPERATION
1,389MW UC / PLANNED 8% COLO VACANCY
*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.
MARKET OVERVIEW
As forecast in our H1 2023 update, Greater Tokyo has developed into a 1GW market with an
additional 126MW of operational IT load added in the last 6 months, taking up. In H2 2023,
Inzai saw an increase of 33MW and the rest of Tokyo, including prefectures such as
Kanagawa and Chiba, the city of Oyama added another 75MW of operational IT load.
Housing the largest cluster of data centres in the Asia Pacific region and taking up over 80%
of Japan’s total operational capacity, the growth of data centres in Tokyo is attributed to
increasing cloud adoption, rising levels of economic and technological development, and
government efforts for a digital society and to digitalise industries. With challenges in
securing powered sites in Central Tokyo and Inzai, developers are increasingly looking for
available power in new submarkets that can satisfy their growth plans.
The Japanese government has been attempting to push data centres from established hubs
of Tokyo and Osaka through the Digital Garden City Initiatives and enlisting large
cooperation with local governments. With the government support in developing land and
necessary infrastructure could save up to one-third of construction costs, large regional
center started to emerge led by hyper scalers seeking alternative sites outside the Greater
Tokyo Area. Within the Greater Tokyo Area, already 96% of UC and Planned pipeline are also
located outside the central Tokyo, as more investors seeking lower land cost and available
power supply in outer area.
There is a good mix of international and local players in the market such as @Tokyo who
leads the Greater Tokyo market in terms of total operational IT load, followed by NTT, Equinix
and KDDI. New players who entered the market include CEC, Canon IT Solutions, I-Net
Cooperation and TIS INTEC Group.
INZAI
CENTRAL TOKYO
Colo
Hyperscale Cloud
Telco
ECOSYSTEM DEVELOPMENTS
• AirTrunk commenced the construction of the third phase of AirTrunk TOK1, a massive data centre project in East
Tokyo. With a capacity of over 300MW, the new facility will be purpose-built to cater to the needs of a major
technology client.
• Alation, Inc. announced the launch of its new data centre located in Tokyo. Customers can now process and store
data locally to meet data residency requirements. This is the fifth Alation facility globally, adding to existing
locations in the United States, Europe, Singapore, and Australia.
• Amazon Web Services (AWS) is planning to invest over US$15.24B in expanding its nation-wide cloud computing
infrastructure by 2027. As part of this investment, the company will seek to expand its data centre facilities in
Tokyo and Osaka, with an expected annual expenditure of $5 billion over the next three years.
• Equinix announced the opening of TY13x, its second Tokyo-based xScale data centre, providing 8MW in the first
phase and will provide a total capacity of 36MW at full built
• GLP has started on its first data centre project in Japan, a 31 MW campus in Western Tokyo. The first 10MW phase
of the project is expected to deliver in Q1 2025. GLP’s larger plans for Japan include a pathway to over 600MW of
IT capacity over four planned Tokyo campuses and one planned Osaka campus.
• NTT Global Data Centers Japan (NTT GDCJ), and TEPCO Power Grid (TEPCO PG) have announced an
agreement to create a new joint company. This venture will focus on developing and operating data centres in the
Inzai-Shiroi area of Greater Tokyo.
RECENT PROPERTY SALES TYO JAPAN
H2
23
SITE / PROPERTY SIZE SALE DATE SALE PRICE (US$) BUYER SELLER

Gotenyama SH Bldg 20,000 m2 Oct 2023 $469M TIS Inc Sekisui House REIT

Hino Motors Factory Site 28 acres Sep 2023 $344M Mitsui Fudosan Hino Motors

CONTACTS
CONSTRUCTION UPDATES* Click on each name to email them
OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ
TODD OLSON
TOK1 Inzai 164,270m2 27.5MW (288MW) U/C Executive Sponsor,
TOK2 Ome 110,000m2 60MW (108MW) U/C – 2024 APAC DCAT & Managing
Director, Japan & Korea
todd.olson@ap.cushwake.com
CC3 Chuo City 32,000m2 12MW (24) U/C – 2024
MARI KUMAGAI
Director, Head of Research &
Inzai 4 Inzai 18,000m2 23.1MW (36.3MW) U/C Consulting, Japan
mari.kumagai@cushwake.com

TY07 Chuo City 6,800m2 1.2MW (5MW) U/C – 2025

KOSUKE OGI
Executive Director,
TY11 Koto City 24,847m2 2.6MW U/C Capital Markets, Japan
TY15 Minato City 110,000m2 3.6MW (7.5MW) U/C – 2024
Kosuke.Ogi@ap.cushwake.com

Fuchu Campus Fuchu 40,000m2 19.5MW (39MW) U/C - 2024

TIMOTHY GREGERSEN
Senior Manager, Investment Sales,
Japan
Tokyo NRT11-13 Inzai 84,000m2 12MW (84MW) U/C – 2024
timothy.gregersen@ap.cushwake.com

Kanagawa Data Center Sagamihara City 30,984m2 12MW U/C – 2024

TY1 Saitama 58,860m2 48MW (96MW) U/C – 2024

GOTEMBA Data Centre Kawasaki / Kanagawa 17,506m2 18MW U/C

ASAMA Data Centre Campus Kashiwa 19,561m2 6MW (54MW) U/C

TKY01 Inzai 44,032m2 6MW (36MW) U/C – 2024

Inzai Campus Inzai 60,000m2 15MW (60MW) U/C – 2024

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
8
ASIA PACIFIC POWERHOUSE MARKET NORTH SHORE

KEY INDICATORS*
18 OPERATORS, 48 DATA CENTRES 729MW IN OPERATION
GREATER WESTERN SYDNEY WESTERN SYDNEY
1,045W UC / PLANNED 12% COLO VACANCY

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.

Colo

Hyperscale Cloud SYDNEY CBD & OUTSKIRTS

MARKET OVERVIEW
Sydney is Australia’s largest data centre market, taking up over 60% of the nation’s total
operational IT local and under construction/planned development pipeline. Greater Western
Sydney, is the market’s biggest cluster, accounting for almost half of Sydney’s operational capacity
and almost 70% of its under construction/planned development pipeline. Colocation vacancy rates
have remained steady since our last H1 2023 update. The market is also witnessing a significant
jump in data centre sizes. The average size of data centres currently live and operational is 15MW,
however, the facilities under construction have an average capacity of 36MW.
Sydney, followed by Melbourne, continues to attract the attention of global cloud service
providers, operators and investors who see the market as an appealing location for data centre
investment due to anticipated growth fueled by gaming, content streaming, industrial IoT
applications, and AI. Microsoft announced plans to invest US$3.2B towards their hyperscale cloud
computing and AI infrastructure plans across Australia, revealing plans for nine data centres in
Sydney, Melbourne, and Canberra. Macquarie Data Centres also announced plans to expand their
IC3 Super West facility in Sydney to 45MW IT load — a 41% increase on the original plans — to
facilitate the rapidly rising demand for AI workloads.
With aims to address growing demand for liquid-cooled solutions from enterprises in the market,
Australian cloud service provider, ResetData, in partnership with Dell Technologies, Intel, Castrol
BP, and Submer and Seimon, unveiled a new test and simulation lab for its liquid-cooled data
centre server technology in Sydney CBD. It will allow customers to simulate high performance
applications such as AI and machine learning workloads in a liquid-cooled environment. Equinix has
also announced plans to expand support for liquid cooling technologies to support compute-
intensive workloads like AI to over 100 of its international business exchange (IBX) data centres
worldwide, including those in Sydney and Melbourne.
Telco
ECOSYSTEM DEVELOPMENTS
• AirTrunk has topped off 30MW of the first phase of its SYD2 campus which will have a total of 120MW upon
completion. The company has also gained SSD approval for its SYD3 campus in North Sydney, with a total
planned capacity of 320MW
• DCI Data Centers has gained SSD approval for SYD03, a 32MW facility built adjacent to its SYD01 facility in
Huntingwood.
• Macquarie Cloud Services and Virtual IT Group (VITG) have signed up on providing a sovereign cloud
service for the latter's healthcare clients.
• NEXTDC has completed construction of their S3 data centre in Artarmon, which interconnects to their
existing S1 and S2 data centres in Macquarie Park. They have also lodged an SSD applications for S4 in
Horsley Park, which is planned to have a total capacity of 300MW and S5 in Macquarie Park, which is
planned for60MW.
• Stockland have lodged an SSD application for a 35MW second facility in Macquarie Park with an onsite
substation.
• TPG Telecom Group–occupied data centre in Glebe was marketed for sale in September 2023 with price
expectations of AUD$45M (US$29M). The current lease is for a 15-year term with a further 10-year option.
Expressions of interest closed in October with no announcements yet on the confirmed buyer.
 RECENT SITE SALES SYD
AUSTRALIA
H2
23
SITE / PROPERTY SIZE SALE DATE SALE PRICE (US$) BUYER SELLER

Fujitsu Western Sydney 17,000 sqm Jul 2023 (undisclosed) UniSuper NPS

18 McKinnon Ave 1,386 sqm Jul 2023 $4.7M Titus Pty Telstra

CONTACTS
Click on each name to email them
CONSTRUCTION UPDATES* ALEX MOFFATT
OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ Director, Logistics &
Industrial, Australia
alex.moffatt@cushwake.com
SYD2 Lane Cove 39,320m2 70MW (120MW) U/C - 2024

STEWART ARMSTRONG
EC5 / EC6 Eastern Creek 46,182m2 75MW / 33MW Planned – 2025 Associate Director, Client Services,
Project Management
stewart.armstrong@cushwake.com
SYD02/03 Eastern Creek 10,865m2 32MW Planned

PETER BATH
Erskine Park 2 Erskine Park 16,350m2 9MW Planned - 2024 Valuer,
Valuation Services
SY5 Alexandria 35,326m2 12MW + 12MW U/C - 2024 / 2025 peter.bath@cushwake.com
SY9X / SY10X Rosehill 29,612m2 15MW / 28MW 2025 / 2024

Sydney S3 Artarmon 30,000m2 28MW (68MW) U/C – 2024

Sydney S4 Horsley Park 210,798m2 100MW + 300MW 2026 / 2027

Athena Macquarie Park 16,215m2 25MW U/C

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
10
 Colo

Hyperscale Cloud
ASIA PACIFIC ESTABLISHED MARKET Telco

KEY INDICATORS* LOYANG

25 OPERATORS, 51 DATA CENTRES 973MW IN OPERATION BEDOK

SUNVIEW - JURONG PAYA LEBAR TAMPINES

332MW UC / PLANNED 1% COLO VACANCY

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.

MARKET OVERVIEW
Despite the high property and construction costs when compared to neighbouring South-East
Asian markets and other primary markets in Asia Pacific, Singapore continues to be a leading data
centre hub for it’s regional and global connectivity. It will soon follow Tokyo as Asia Pacific’s next
1GW city market and continues to boasts the lowest colocation vacancy rate of 1% within the
region, strongly indicating that demand outstrips supply. Demand continues to be fueled by
Western and Chinese hyperscalers in the market, as well as key sectors such as banking and ECOSYSTEM DEVELOPMENTS
finance.
• Digital Realty announced a new cooling tower initiative, a first of its kind in Singapore, involving a process
The 80MW of capacity awarded to Equinix, GDS, Microsoft, and the AirTrunk / ByteDance known as DCI electrolysis, at its SIN10 data centre, which aims to pioneer new levels of water conservation
consortium following the results of the Singapore Economic Development Board (EDB) and the and efficiency in its data centres in Singapore. Since implementing the technology, the company reduced
Infocomm Media Development Authority (IMDA) pilot Data Centre – Call for Application (DC-CFA) monthly blow-down water discharge at the facility by 90% and improved their water usage efficiency (WUE)
exercise, contributed towards the 300+MW development pipeline, of which 103MW was added in by 15%.
H2 2023.
• Energy Market Authority (EMA) are looking to increase its generation capacity over the next five years, with
In line with the sovereign state’s push towards more sustainable data centres operating practices,
greener and more energy efficient plants. The announcement was made at the ground-breaking ceremony of
key operators and other related companies (as detailed under the ecosystem developments
Keppel’s new hydrogen-ready power plant on Jurong Island. The new plant will have a lower carbon footprint
section of this Singapore update) remain focused on keeping ESG at the centres of their data
centre strategies. Singtel, began construction of its largest data centre in Singapore, DC Tuas, than conventional power plants and can operate on fuels with 30 per cent hydrogen content.
which will be the highest power density and hyper-connected green data centre in Singapore. • GDS has announced a partnership with SK ecoplant, an energy and environment affiliate of South Korean
Upon completion in 2025, the facility, which is directly connected to several international conglomerate SK Group, for the trial of fuel cell technology to power supply solutions for GDS's upcoming
submarine cables, will provide a 58MW IT power load capacity and incorporate next-generation
data centre in Singapore.
cooling capabilities that are able to support customers’ rack density of up to 80kW per rack and
boast a PUE below 1.3. Similarly, OVHcloud has expanded its footprint in Singapore with its second • Hydroleap, a next-generation water technology company, has partnered with IX Technology, a Singapore-
data centre and the most sustainable of all their data centres in Asia Pacific, boasting a PUE as low based provider of data centre mechanical and electrical (M&E) infrastructure solutions, to improve water
as 1.29 and a WUE (Water Usage Effectiveness) of 0.30l/kW. management in data centres across Singapore, Malaysia and Vietnam. Hydroleap’s patented Electro-
Global cloud service providers (CSP’s), including Google, Microsoft and AWS remain as the largest Oxidation Technology (HL-EO), which is being used by major blue-chip data centre companies and
CSP’s in Singapore. The colocation operators such as STT Global Data Centres, Equinix, Digital CapitaLand, is aimed at transforming water management in data centre cooling towers.
Realty, Singtel, AirTrunk, Keppel Data Centres and Global Switch cumulatively account for more
than 55% of operational capacity in Singapore.
 RECENT SITE SALES SGP
SINGAPORE
H2
23
SITE SIZE SALE DATE SALE PRICE (US$) BUYER SELLER

Singtel Portfolio 20% stake Nov 2023 $806M KKR Singapore Telecom

CONSTRUCTION & PLANNED UPDATES*

CONTACTS
OPERATOR DATA CENTRE LOCATION BUILDING AREA POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ Click on each name to email them
BRENDA ONG
SGP1 Loyang 48,000m2 6MW U/C
Executive Director,
SGP2 Loyang 12,000m2 23MW Planned Logistics & Industrial, Singapore
brenda.ong@cushwake.com
SG1 TBC N/A 20MW Planned
SG4 Tai Seng 23,214m2 6MW Planned
SG6 Loyang 13,000m2 20MW Planned XIAN YANG WONG
Head of Research,
Singapore
SG1 TBC 13,000m2 20MW Planned xianyang.wong@cushwake.com

JAMES B. NORMANDALE
Singapore 7 Kallang Way 44,279m2 20MW U/C Alternative Assets Lead, Asia Pacific
Project & Development Services
james.normandale@cushwake.com

RC1 Tai Seng 9,032m2 2MW U/C

YTL Data Center Thomson 13,886m2 1MW U/C

Tuas Data Centre Tuas Ave 3 40,000m2 58MW U/C - 2025

DC West Yung Ho Road 52,954m2 N/A Planned

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
12
ASIA PACIFIC ESTABLISHED MARKET

INCHEON/
W.GYEONGGI SW
SEOUL

GANGAM
KEY INDICATORS*
21 OPERATORS, 43 DATA CENTRES 453MW IN OPERATION

608MW UC / PLANNED 9% COLO VACANCY

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.
MARKET OVERVIEW
Greater Seoul takes up 77% of Korea’s data centre market, a market share decrease from 85% since
our H1 2023 update. This is attributed to the government’s aims to promote and incentivise data
centre investment into other regions of Korea to balance the country’s power usage profile, with
data centres operating in Gangwon, Pohang and Sejong. Despite this, 100MW of operational supply
was added to Seoul in H2 2023, with Samsung SDS, Hanwha S&C, Daou Technology and IGIS Asset
Management entering the market. The surge of new supply has increased the vacancy rate from 4%
to 9% in H2 2023, which will likely be further impacted with an additional 97MW of supply pipeline
planned in Gyeonggi from IGIS Asset Management and Daou Technology.
Sourcing sites with sufficient power for data centres remains a challenge in Greater Seoul. To
address data centre invoked power concerns, an audit was conducted by KEPCO in mid-2023 to
assess data centre power applications submitted from 2020 to 2023. The results uncovered
opportunistic strategies by investor groups, including several power applications by single entities
across numerous sites, and even multiple power applications for single sites. As such, KEPCO has
responded through tightening regulations to require power impact assessments and by granting
additional powers to revoke power contracts in the event documents have not been signed, or
power usage has not commenced within the statutory timeframes.
To allay the concerns of residents around data centre developments, ease pressure on the grid, and
plan ahead for network improvements, the government is promoting the concept of “data centre
districts” outside of Greater Seoul, equipped with the requisite power, zoning and infrastructure.
Governments in provincial locations are broadly supportive of data centre development where land
is more readily available and power concerns are fewer.
STH
GYEONGGI
Colo
Hyperscale Cloud SEONGNAM
Telco
ECOSYSTEM DEVELOPMENTS
• Digital Edge secured its first-ever green loan of US$335 to finance the initial phase of development of South
Korea’s largest commercial colocation facility, SEL2, a 100MW data centre located in Incheon. The first phase
if expected to be ready for service in late 2024.
• Digital Realty revealed the availability of a new AWS Direct Connect on-ramp at its ICN10 data centre in
Seoul, which will enable customers to access AWS services either through a single cross connect or via
ServiceFabric , Digital Realty's global service orchestration platform.
• Equinix announced the launch of SL4, a retail International Business Exchange (IBX) retail colo facility,
housed inside SL2x, the company’s upcoming xScale hyperscale data centre located in Goyang-si, Gyeonggi.
• South Korean tech giant, Kakao, has completed construction of its first in-house data centre located on the
Hanyang University’s Erica campus in Ansan, Gyeonggi. The facility has been designed to withstand natural
disasters such as fires, earthquakes, and floods. Kakao experienced a significant outage in 2022 due to a fire
caused by lithium-ion batteries at an SK Group data centre. The outage led to a government investigation
and police raids and the company was required to implement an emergency response system and
compensate businesses and users that were impacted by the fire.

Owing to the large population, customer base, and strong latency profile, Greater Seoul remains • LG U+ has completed construction of its second hyperscale data centre, Pyeoungchon 2 Center, in Anyang-
the target for hyperscale and colocation groups. However, with the challenges that prevail more si, Gyeonggi. Spanning over 12 floors, three of which are underground, the will house more than 200,000
servers and a geothermal heating and cooling system.
attention is being afforded to secondary and tertiary cities. Locations such as Busan, Korea’s
second largest city, may benefit due to the strong cable connectivity, developed infrastructure, and
strong labour pool.
 RECENT SITE SALES
SITE SIZE SALE DATE SALE PRICE (US$) BUYER SELLER
SEL
SOUTH KOREA
H2
23
670-4 Seonggok-Dong 3 acres Aug 2023 $94M Korea Alt Asset Mgmt Daejoo NI

CONSTRUCTION & PLANNED UPDATES*

OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ CONTACTS
Click on each name to email them
Pyeongchon Data Centre Anyang 25,000m2 26MW (26MW) U/C – 2024 JOHN PRITCHARD
Youngdeungpo Data Centre Youngdeungpo 25,000m2 Phase 1: 13MW (26MW) U/C – 2025 Head of Tenant Advisory Group,
Korea
john.pritchard@cushwake.com
SEL2 Incheon 80,000m2 Phase 1: 18.75MW (75MW) U/C - 2024

JINWOO JUNG
Digital Seoul 2 (ICN11) Gimpo 90,115m2 Phase 1: 10.6MW (64MW) U/C – 2024 Head of Research,
Korea
jinwoo.jung@cushwake.com
Incheon IDC Incheon 7,279m2 6MW (6MW) U/C – 2024

Phase 1: 10MW (40MW) U/C – 2025 RORY NEWMAN

Gangnam IDC Seocho 30,714m2 Senior Manager,
Phase 2: 30MW Planned - 2025
Leasing Tenant Representation
SL2x Phase 1: 12MW (24MW) U/C – 2024 rory.newman@cushwake.com
Hyangdong 13,000m2
SL3x Phase 1: 24MW Planned – 2024

Gwacheon Data Centre Gwacheon 10,000m2 Phase 1: 7MW (14MW) U/C - 2024

Hanam Data Centre Hanam 41,917m2 25MW (25MW) Planned - 2024

Gasan Iwill Data Centre Geumcheon 36,518m2 Phase 1: 13MW (26MW) U/C – 2025

Pacific Sunny Data Centre Jukjeon 99,070m2 Phase 1: 32MW (64MW) U/C – 2024

Pyeongchon 2 Anyang 40,450m2 Phase 1: 12MW Planned

Bucheon AI Data Centre Bucheon 4,875m2 4.8MW (4.8MW) U/C – 2024

Incheon Data Centre Incheon 50,000m2 Phase 1: 48MW Planned - 2024

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
14
ASIA PACIFIC ESTABLISHED MARKET

KEY INDICATORS*
12 OPERATORS, 33 DATA CENTRES 94MW IN OPERATION
KUALA LUMPUR
594MW UC / PLANNED 17% COLO VACANCY

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.

MARKET OVERVIEW
Since our last update, Kuala Lumpur overtook Johor in our maturity market index. Whilst Johor has
been a focus for hyperscalers as an alternative location to Singapore, Kuala Lumpur has been
attracting colocation operators focused on servicing enterprise customers at a retail level and hence,
the data centres in the market are much smaller in scale. The average size of operational data
centres in Kuala Lumpur is 3MW, compared to 16MW in Johor, whereas those under construction in
Kuala Lumpur is 6MW compared to 20MW in Johor. There are also only 6 operational data centres in
Johor compared to Kuala Lumpur’s 33. Nonetheless, Kuala Lumpur stands as a prominent data
centre hub in its own right, taking up almost half of Malaysia’s data centre market in terms of both
current operational IT load as well as the development pipeline.
The government has established various freezones to meet industrial requirements in Kuala Lumpur
which make it an attractive market for data centre investors, developers and operators. Clusters
such as Cyberjaya provide essential digital infrastructure to support data centre development and is
also a preferred location for high-tech science parks where there is a congregation of research and
development facilities. Malaysian Prime Minister, Anwar Ibrahim, highlighted the city’s potential to
become the preferred investment location for tech companies in the future. Furthermore, Malaysia’s
New Industrial Master Plan 2030, which seeks to elevate economic sophistication and swiftly
integrate advanced technology infrastructure for Malaysia to achieve developed nation status, will
likely draw more data centre investments into the market in coming years.
Such government initiatives have drawn major operators into Malaysia, which is evident in the 600%
growth we forecast in Malaysia’s data centre sector in the next decade.
Colo
Hyperscale Cloud
CUBERJAYA
Telco
ECOSYSTEM DEVELOPMENTS
• Damac, a United Arab Emirates real estate developer, announced plans to invest US$52.4m to establish a
data centre on a 1.21ha site, as part of their data centre entry plans into Asia Pacific. They have reportedly
also secured land in Indonesia and Thailand for proposed data centre developments..
• EdgeConneX have announced their entry into the Malaysia with plans to build several data centres offering
nearly 300MWs of capacity in three separate locations in Kuala Lumpur CBD, Cyberjaya and Bukit Jalil.
• KKR have signed an agreement to invest US$400M in Malaysian subsea telecommunications cable service
provider OMS Group. The investment will be used on cable landing stations and subbsea cable routes.
• NTT have further committed to the growth of the data centre investments in Malaysia with the
announcement of their sixth facility, CBJ6, on their NTT Cyberjaya campus alongside their CBJ5 site built in
2021. With an investment of over US$50M, the site will add 7MW critical IT load bringing the total of the two
sites to 22MW.
• STT GDC and Basis Bay announced the formation of a joint venture partnership, for the development,
construction, and operation of data centre projects in Kuala Lumpur and Cyberjaya. The new JV plans to
build their first data centre campus in Cyberjaya over three acres of land, delivering close to 20MW of IT
load.
• TM Global solidified its commitment to advancing Malaysia's digital landscape by announcing its recent
participation as a consortium member of the Asia Link Cable System (ALC). This strategic move positions
Malaysia as one of the key destinations connecting Malaysia to Hong Kong.
CONSTRUCTION & PLANNED UPDATES*
KL
MALAYSIA
H2
23
OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ

Cyberjaya Cyberjaya 22,300m2 Phase 1: 8MW (19MW) U/C- 2024

Bukit Ceylon Kuala Lumpur 5,000m2 5MW U/C- 2025

Miranti Park Kuala Lumpur 48,000m2 8MW Planned CONTACTS

MY02 Cyberjaya 52,940m2 5MW Planned Click on each name to email them
MY03 Kuala Lumpur 20,000m2 8MW Planned
TIFFANY GOH
Country Manager,
Bukit Jalil Kuala Lumpur 22,222m2 22.4MW Planned Malaysia
CBD Kuala Lumpur 23,750m2 6MW Planned tiffanygoh@ivpsmalaysia.com
Cyberjaya Cyberjaya 22,222m2 22.4MW Planned
HEMA JAYARAMAN
Manager, Capital Markets
KL1 IBX Cyberjaya 14,000m2 Phase 1: 2.5MW(5MW) U/C 2024
Malaysia
hema@ivpsmalaysia.com
Cyberjaya Cyberjaya 17,427m2 12MW U/C-2024

KL1 Kuala Lumpur 4,211m2 7.5MW Planned

CBJ6 Cyberjaya 9,967m2 7MW Planned

CJ1 Cyberjaya 3,716m2 1MW Planned

Cyberjaya DC.2 Cyberjaya 3,500m2 2.8MW Planned-2024

Kuala Lumpur 1 Cyberjaya 20,625m2 4.15MW Planned-2025

KVDC Cyberjaya 18,580m2 7.5MW Planned

KUL13 Iskandar Puteri 77,339m2 5MW U/C - 2024

KUL14 Cyberjaya 44,800m2 16MW U/C- 2024
KUL2 Cyberjaya 2,56,000m2 25.6MW Planned

Sentul Data Center 1 Kuala Lumpur 9,930m2 1MW Planned

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
16
 CENTRAL
JAKARTA
ASIA PACIFIC ESTABLISHED MARKET

CIKARANG

KEY INDICATORS*
20 OPERATORS, 43 DATA CENTRES 202MW IN OPERATION
AH152 - BOGOR
542MW UC / PLANNED 34% COLO VACANCY

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.

Colo

MARKET OVERVIEW
Indonesia’s data centre market continues to grow, buoyed by the government investment into the
country’s digital economy and its acceleration of digital transformation across all ministries,
government agencies, and state-owned enterprises. Coupled with the huge domestic demand for
digital services that is also propelling the data centre industry Greater Jakarta continues to rapidly
transform into a global data centre hub. Although Batam, due to its close proximity to Singapore is
increasingly becoming popular, Jakarta, the current capital of Indonesia until the future capital will be
inaugurated in late 2024, and its surroundings of Greater Jakarta, takes up more than 90% of
Indonesia operational IT capacity at 202MW, an almost 20% increase since our last update in H1 2023.
Since the government started to ease its stance on data centre regulations in recent years, Jakarta
offers promising investment prospects with government provided tax incentives and exemptions to
boost the digital economy. In addition, the government is continuing its efforts to promote data
localisation in Indonesia and the Indonesian Ministry of Communication and Information Technology
(Kominfo) has released a draft proposing amendments to the country's data protection regulations.
They are now seeking public comments on these proposed changes, reflecting an effort to enhance
data privacy and security in Indonesia.
Hyperscale activities have previously been focused on East Jakarta, around the availability zones of
AWS and Microsoft towards the Bekasi / Kaarawang corridor, east of Jakarta where greenfield
developments have become increasingly popular due to better infrastructure and lower land prices.
However, land availability in established industrial estates are starting to decrease due to the influx of
data centre development. With many facilities coming live in 2024, competition is expected to be
strong in Greater Jakarta and exert pressure on pricing in the market
Regarding sustainability, the country aims to accelerate renewable energy production. The Just
Energy Transition Partnership (JETP), a US$20B initiative involving Indonesia, the U.S., and Japan,
aims to retire coal-fired power plants and promote renewable energy for carbon neutrality by 2050.
Hyperscale Cloud
KARAWANG-
JATILUHUR
Telco
ECOSYSTEM DEVELOPMENTS
• Bersama Digital Data Centre plans to build a 32MW tier IV data centre, BDDC JST1 in Jatinegara, East
Jakarta
• EdgeConneX received US$403.8 million in sustainability-linked (SLL) financing Sumitomo Mitsui Banking
Corporation (SMBC) by for its 120MW data centre campus development in Jakarta. The financing represents
the first-ever in Indonesia’s data centre market, being the inaugural SLL transaction for EdgeConneX in the
region.
• NEC Corporation is set to construct the Patara-2 submarine cable system in collaboration with Telkom
Indonesia to enhance international connectivity, supporting the growing demand for high-speed data
transmission in the Asia-Pacific region.
• Princeton Digital Group has launched its 6th facility of 22MW hyperscale data centre facility (JC2) in
Cibitung. They have also signed an energy deal with PT Cikarang Listrindo Tbk to power one of its 30MW
data centres with biomass-powered capcity, the first of its kind in Indonesia. They are also reportedly
planning to raise $1 billion in debt financing to support their data centre expansion plans in Indonesia.
• Tencent Cloud announced its collaboration with Digital Edge, to improve connectivity via integration with
the Edge Peering Internet Exchange in Jakarta as a part of its commitment to foster connectivity and
strengthen digital infrastructure in emerging markets
CONSTRUCTION UPDATES* JKT
INDONESIA
H2
23
OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ

CGK2 Technopark BSD Serpong 6,000m2 Phase 2: 4MW U/C

CGK3A Jakarta 15,000m2 Phase 1: 5MW (15MW) U/C

E1 Data Center Campus Jakarta 9,600m2 Phase 1: 8MW (18MW) U/C

H2-01 Karawang 15,000m2 Next phase: 10MW (15MW) U/C
CONTACTS
JK 5 16,666m2 5 MW U/C Click on each name to email them
WIRA AGUS
Edge2 Jakarta 38,000m2 Phase 1: 4.25MW (23MW) U/C Director, Industrial & Land Sales,
Indonesia
wira.agus@ap.cushwake.com
Bekasi Bekasi 57,600m2 Phase 1: 10MW (57.6MW) U/C- 2025
ARIEF RAHARDJO
Director, Strategic Consulting
JK1 Jakarta 10,600m2 Phase 1: 3.5MW (7MW) U/C – 2024 Indonesia
Arief.rahardjo@ap.cushwake.com

GIIC Bekasi 58,800m2 Phase 1: 8.4MW (58.8MW) U/C – 2024

Jakarta 2 Data Center Jakarta 15,400m2 Next phase: 1.8MW (11MW) U/C

JC2 Bekasi 22,800m2 Phase 1: 4.5MW (22MW) U/C

ID01 Bekasi 10,000m2 20MW U/C

MIG Data center Jakarta 17,200m2 5MW (20MW) U/C

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
18

ASIA PACIFIC ESTABLISHED MARKET
KEY INDICATORS*
20 OPERATORS, 51 DATA CENTRES 621MW IN OPERATION
317MW UC / PLANNED 35% COLO VACANCY
*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
excludes Captive & ICT.
MARKET OVERVIEW
Hong Kong, a global financial and business capital and considered a gateway to mainland China,
offers excellent regional and global connectivity and robust telecommunications infrastructure
with a network of 12 external submarine optical fibre cable systems. Globally, Hong Kong is the
lowest taxed data centre jurisdiction, and the Office of the local Government Chief Information
Officer (OGCIO) is committed to further fostering Hong Kong as a prime data centre location in the
Asia Pacific region and establishing the market as a hub for technological cooperation and trade.
To support this, the OGCIO has established the Data Centre Facilitation Unit (DCFU), that provides
details around the strategic advantages and benefits of establishing data centres in Hong Kong,
availability of sites as well as government support to data centre operators. This initiative aims to
attract significant investments, enhance infrastructure, facilitate industry collaboration, and ensure
a conducive environment for data centre operations.
With the ease of obtaining government approval for data centre developments and policies that
provide incentives and funding assistance for data centre redevelopments. For conversion of
existing industrial buildings for data centre use, the Hong Kong Government will waive the
standard waiver fees currently chargeable to applications for conversion of existing industrial
buildings to information technology and telecommunications industries use, which include data
centres.
However, the supply pipeline will be constrained in the medium to long term due to shortage of
land and power supply, especially in Kwai Chung, Tsuen Wan, Shatin, Tsing Yi and Fanling, where it
could take over 6 years to secure power and average land prices for data centre developments
have appreciated 20-30% over the last few years. Locations such as Tuen Mun and Lantau Island
provide better opportunities in relation to land and power, however, investors and operators are
reluctant to pioneer new data centre territories in Hong Kong just yet.
SUNeVision iAdvantage is the market leader by far in the Hong Kong market, with 29% total market
share. Other international/regional operators like NTT, Global Switch, Equinix, Vantage, and GDS
are also significant players in the market.
FANLING
SHA TIN
TSUEN WAN
TSUENG
KWAN O
HONG KONG ISLAND
Colo
Hyperscale Cloud
Telco
ECOSYSTEM DEVELOPMENTS
• CLP Power Hong Kong (HK$200 million) is setting aside HK$5 million to conduct professional in-depth
analysis of energy-saving possibilities for businesses in partnership with universities, research institutions
and other professional organisations
• Equinix has unveiled plans to extend support for advanced liquid cooling technologies to over 100 of its
International Business Exchange (IBX) data centres across more than 45 global metropolitan areas, including
5 in Hong Kong.
• ESR secured a US$205M Sustainability Linked Loan (SSL) that will be used to fund the conversion of a
building in Kwai Chung into a 21.3MW facility named ESR Kwai Chung Data Centre HK1.
• GDS announced the successful completion of HK1, its first self-built, self-operated data centre in Hong Kong.
Located in the Kwai Chung district, HK1 data centre provides a total IT power capacity of 18.8MW with a
floor area of approximately 22,931 sqm. At 22 stories, HK1 stands as one of Asia’s tallest purpose-built data
centres. GDS currently operates or will soon operate 18 data centres within the Guangdong-Hong Kong-
Macao Greater Bay Area. The company, which is publicly listed in Hong Kong, has also pledged to achieve
net-zero carbon emissions by 2030.
• SUNeVision jointly announced a partnership with Digital Edge (Singapore) Holdings Pte. Ltd. To deliver
state-of-the-art, carrier-neutral data centres and colocation services across Asia Pacific, including
SUNeVision's seven data centres in Hong Kong. SUNeVision and HKBN Group also announced the
commencement of operations of their joint-investment subsea cable system, TKO Connect. This project
represents a significant milestone in next-generation subsea fibre cable systems as it enables ultra-reliable
and seamless interconnection between the MEGA-i and MEGA Plus high-tier data centres in Hong Kong.
 CONSTRUCTION & PLANNED UPDATES* HKG
GREATER CHINA
H2
23
OPERATOR DATA CENTRE LOCATION BUILDING SIZE POWER (TOTAL CAPACITY†) STAGE - EST. RFSˆ

HKG2 Sha Tin 11,400m2 4MW U/C – 2024

Fo Tan DC / 10MW U/C – 2025

STTL 613
Sha Tin 73,300m2
30MW Planned – 2025 CONTACTS
Click on each name to email them

HK1 Kwai Chung 27,300m2 40MW Planned - 2025 JOHN SIU

Managing Director, Hong Kong
john.siu@cushwake.com
HK 2 Kwai Chung 21,200m2 18MW U/C - 2024
HK 3 Tsuen Wan 22,100m2 21MW Planned – 2026
ROSANNA TANG
HK 4 Kwai Chung 25,800m2 22MW Planned – 2028
Executive Director, Head of
4MW U/C – 2025 Research, Hong Kong
Tower 3 Fanling 16,630m2 4MW Planned – 2025 rosanna.tang@cushwake.com
Phase 2: 8MW Planned – 2026

ANTHONY WONG
FSSTL 268 Fanling 20,100m2 25MW U/C – 2025 Research Manager, Hong Kong
anthony.wong@cushwake.com

MEGA IDC Tseung Kwan O 117,989m2 130MW U/C – 2024

*Excludes Captive & ICT construction updates.

†Total IT Load
ˆ RFS: Ready for Service
20
 APAC
EMERGING MARKETS
H2
23
ASIA PACIFIC DEVELOPING MARKETS

CONTACTS
KEY INDICATORS* Click on each name to email them

24 OPERATORS, 50 DATA CENTRES 59MW IN OPERATION 307MW UC / PLANNED 23% COLO VACANCY GARETH POWELL
Country Head,
Thailand is growing in its significance as a prominent ASEAN market as it continues to develop and evolve its digital ecosystem. The Thailand Board of Investment Thailand
(BOI) has established a range of non-tax and tax incentives that promote the growth of the country’s data centre industry. For instance, there has been a relaxation of gareth.powell@cushwake.com
restrictions for foreign ownership and corporate income tax exemptions and reductions amongst others. As a result, Bangkok, which houses more than 90% of
Thailand’s operational data centre capacity saw a 40% increase in live IT load since our last update.
SARAWUT TIKHACHON
**Definition:
Definition: Key
Key indicators
indicators are
are based
based on
on operational
operational Hyperscale
Hyperscale Cloud,
Cloud, Colo,
Colo, Edge
Edge &
& Telco
Telco data
data centre
centre facilities
facilities in
in the
the market
market and
and
Bangkok’s
excludes data
excludes Captive
Captive & centre market is forecast to grow exponentially over the next two years with an additional 88MW added in H2 2023 towards the development pipeline.
& ICT.
ICT.
Senior Market Analyst – Research
CtrlS have announced plans to develop a 150MW data centre campus in Chonburi, whilst new entrant, OneAsia, plans to develop a 14MW data centre in the Pathum & Consulting, Thailand
Thani region. SingTel and Evolution Data Centers are also reportedly exploring options to build hyperscale facilities in Bangkok. sarawut.tik@cushwake.com

The growth of Bangkok’s data centre market will be further fueled by an influx of global service providers actively exploring the market to cater to the rising demand NITA ATHAKAIWALVATHI
for data centres. According to a government spokesperson, Google, Microsoft and AWS have reportedly committed investments of 100 billion baht each (US$8.5B in Senior Manager,
total) to advance cutting-edge data centre capabilities and strengthen Thailand’s government led digital initiatives. Investment & Advisory, IFM, Thailand
nita.ath@cushwake.com

THERESE CASTRO
Director, Head of Tenant Advisory
KEY INDICATORS* Group, Philippines
tetet.castro@ap.cushwake.com
11 OPERATORS, 19 DATA CENTRES 51MW IN OPERATION 118MW UC / PLANNED 55% COLO VACANCY
With six submarine cable landing stations in Manila and the efforts of both PLDT and the Philippines government to upgrade network infrastructure in the country, will CLARO CORDERO JR.
bolster connectivity and reduce latency to regional and global locations in Asia Pacific, America and Europe and contribute to the growth of the data centre industry in Director, Research, Consulting &
the Philippines. Strengthening trade relations with China, South Korea, and other countries in South-East Asia, America and the European Union will further catalyse Advisory Services, Philippines
economic growth for the Philippines and drive demand for the market’s data centre industry. claro.cordero@cushwake.com
*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
The 85% of the country’s operational data centre capacity is concentrated within Greater Manila. Telcos have limited competition and dominated the market. The
excludes Captive & ICT.
largest data centre operator in the market is ePLDT, the IT services branch of the Philippine Long Distance Telephone Company (PLDT) and is 20.35% owned by DAVID PASTRANA
Japanese-based operator NTT. Other operators in the market include STT GDC, YCO Cloud Centres, DITO Telecoms, and Converge ICT Solutions. Currently, the STT Leasing Manager, Tenant
Fairview data centre is the largest in Manila with a capacity of 28MW IT Load. At the end of H2 2023, there are 8 data centres under construction cumulatively Representation, Philippines
accounting for 72MW of data centre capacity. PLDT and STT GDC continue to expand their presence in the Philippines and account for ~70% of the under construction david.pastrana@cushwake.com
and planned pipeline.

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and excludes Captive & ICT.
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 APAC
EMERGING MARKETS
H1
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ASIA PACIFIC EMERGING MARKETS

KEY INDICATORS* CONTACTS

Click on each name to email them
16 OPERATORS, 23 DATA CENTRES 52MW IN OPERATION 60MW UC / PLANNED 18% COLO VACANCY TODD HANRAHAN
Head of Project & Development
Auckland takes up almost 70% of New Zealand’s operational data centre market. Auckland has historically seen small format data centres with operational capacity Services, New Zealand
only averaging slightly over 2MW. However, the average size of the upcoming data centres increases to almost 13MW reflecting rising confidence levels of operators todd.hanrahan@cushwake.com
towards Auckland as a data centre location. DCI Data Centres, who completed their first data centre, AKL01, in New Zealand, earlier in 2023, have commenced
construction on AKL02 in Albany, which will add 40MW to its portfolio in Auckland. Canberra Data Centres is also expected to add 6MW of capacity at its Hobsonville
*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and
facility.
excludes Captive & ICT.
Microsoft and Amazon have signed agreements with the government to collaborate on projects, regulatory changes and national cybersecurity priorities which will
boost operations in the market. Since the announcements by AWS and Google on their plans to launch cloud regions in Auckland, other international data centre
operators, developers and investors have started to consider the market in their regional expansion plans to capitalise on the high level of renewable energy generation
(hydro, geothermal, wind and solar), and as a cheaper alternative to neighbouring Australia. However, the capital cost of purchasing land can be quite expensive, with
suitable land options for data centre development being limited. While New Zealand is located in a high seismic area, there is a sophisticated level of expertise within
the country around structural resilience that can advise international operators entering into the market.

TRANG BUI
KEY INDICATORS* General Manager,
Vietnam
9 OPERATORS, 13 DATA CENTRES 22MW IN OPERATION 21MW UC / PLANNED 49% COLO VACANCY bui.trang@cushwake.com

Vietnam remains as a new frontier for data centres in Asia Pacific. However, it is poised for steady expansion as its neighbouring ASEAN markets witness solid growth. JOHN LE
In preparation, Vietnam’s digital economy is undergoing signification transformations driven by evolving regulations forced on by the impetus for greater digitalisation. Senior Manager, Leasing Agency –
Forward-thinking enterprises such as Apple, Intel, Canon, Samsung, LG, LEGO, Airbus, and other global organisations have begun working with partners based in Industrial, Vietnam
Vietnam to establish digital transformation strategies as part of a holistic approach to global business. The Vietnamese government has also announced the National
Definition:
*Data
john.le@cushwake.com
CentreKey Project
indicators that is planned
are based around
on operational more securely
Hyperscale storing
Cloud, Colo, government
Edge & Telco data centredata as in
facilities it the
moves towards
market and greater digitisation in the public sector.
excludes Captive & ICT.
Ho Chi Minh has deployed over half of the nation’s live capacity and almost 40% of Vietnam’s under construction and planned pipeline. While international operators
such as NTT Global Data Centers, Telehouse and GIC-backed VNG Cloud have a presence in the market, the common approach for new players entering the market is
to partner with local telcos such as FPT Telecom, Viettel Group, VNPT, and CMC Telecom. Currently, FPT Telecom, VNG Cloud, and VNPT, have facilities under
construction or in planned stages of development, totaling 21MW of IT load and all expected to be operational in 2024.

*Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and excludes Captive & ICT.
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CONTACTS
For more comprehensive insights into Asia Pacific markets, contact our team. Click on each name to email them

PRITESH SWAMY JACOB ALBERS

Director, Research & Advisory, Data Centres, Head of Alternatives Insights,
APAC & EMEA Global Think Tank
pritesh.swamy@cushwake.com jacob.albers@cushwake.com

VIVEK DAHIYA TODD OLSON

Head of Asia Pacific Data Centre Executive Sponsor, Asia Pacific Data Centre
Advisory Team Advisory Team & Head of North Asia
vivek.dahiya@cushwake.com todd.olson@ap.cushwake.com

REBECCA JUNG
Associate Director,
Business Development Services, Asia Pacific
rebecca.jung@cushwake.com

Click or scan the QR code below for more info on What’s Next for Data Centres Across Asia Pacific

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