Knight Frank Launches Southeast Asia Data Centre Index for Potential Hotspots
Apr 18, 2023 | Posted by Abdul-Rahman Oladimeji
Real estate consultancy firm Knight Frank has launched the Southeast Asia Data Centre Opportunity Index. The Index ranks six markets in the region according to factors that impact their potential to become data center hotspots. The six markets included in the Index are Singapore, Indonesia, Malaysia, Thailand, the Philippines, and Vietnam. The factors taken into consideration include the cost of electricity, the level of risk associated with natural disasters, government support, and the availability of land. According to the Index, Singapore is the most favorable market for data center investment due to its stable political environment, excellent infrastructure, and government support. Indonesia and Malaysia follow closely behind due to the growing demand for data centers in those countries.
The Index shows that Thailand, the Philippines, and Vietnam have room for improvement in areas such as infrastructure, government support, and the cost of electricity. However, they also have opportunities for growth due to their large and growing populations and increasing demand for data services. The Southeast Asia region is seeing significant growth in demand for data center services due to the increasing adoption of cloud computing, the growth of e-commerce, and the proliferation of internet-connected devices. The Index provides valuable insights for investors and developers looking to capitalize on the growing demand for data center services in Southeast Asia. It also highlights areas for improvement in the region to make it more attractive for data center investment.