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Change Ahead for South East Asia Data Centers as Markets Shift Gear – Reports


Another round of substantial growth is afoot for data centers in the South East Asian region over the next 24 months, creating a market conservatively estimated at USD3.4 billion by the end of 2017.

A research report asserts that Data Center – South East Asia is known to shift gears and a massive change ahead to bring new competitive landscape.

A consulting firm – BroadGroup writes in its report that there is complexity in the different tempo and evolution of each market.

Singapore still remains an epicenter of cloud and data center activity with a market size exceeding that of the UK (Europe’s largest) and still adding more capacity, before the close of the year.

A latest report scrutinizing 131 operators and 236 facilities reveals that at least USD1.2 billion of new investment is planned over the next 2 years, excluding any future enterprise investments.

Aggressive growth plans in Indonesia (more than half the total population of the region) for space and power, and the readiness and early success of Iskandar across the border from Singapore, propose new alternative data center locations. To the north, Bangkok and nearby areas will see significant growth from its current low base and has the potential to expand into the economies of the Greater Mekong region. At least 8 new development zones across South East Asia were identified in the report typically supported by government initiatives.

However, the report warns that dependencies such as the fulfillment of current investment plans, and new initiatives to resolve power and connectivity challenges still remain critical to the success of forecast growth across the South East Asia region to the end of 2017. The report also suggests opening private investment in dark fiber installation would accelerate development.

“We see the emergence of a changing pattern in the deployment of IT assets in South East Asia and areas such as Iskandar – the largest development zone so far – competing with the Pearl River Delta, or Greater China economies rather than other cities or digital parks in the region and also a possible shift away from the traditional tier 1 city axis used by enterprise investors so far.” said officials.

The complete report is available:

The report and South East Asia markets will be discussed at Datacloud South East Asia taking place 6-7 April 2016,


BiS Team

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