APAC Data Centre Update

H1 2024

Out of the 14 markets within the Asia Pacific region, the top 6 markets contribute up to 85% of the operational capacity within the region. Chinese Mainland (4.2GW), followed by Japan (1.4GW), India (1.4GW), Australia (1.2GW), Singapore (0.98GW), South Korea (0.65GW) not only have the largest operational capacity, but also have robust development pipeline and planned capacities, with both Hong Kong, China (0.58GW) and Malaysia (0.35 GW) also trying to catch up with these top 6 markets.

Malaysia (mainly due to Johor) has observed the highest increase in operational capacity at 80%, between H2 2023 and H1 2024, followed by India at 28%. Both markets have similarly observed highest growth in development pipeline indicating that both these markets are expected to witness continued growth in the next few years.

Japan, India and Australia are the countries wherein both cloud service providers and colocation players are expected to increase their investment and capacities with both Japan and India breaching 4GW size (overall stock of operational, under construction and planned capacities) and Australia at 3.5GW, with Chinese Mainland up ahead of all markets with 6.5GW. South Korea as a market is evidently observing single digit growth trends, due to impact of new regulations power usage and development norms in the short to medium term.

With growth in capacities being observed across the Asia Pacific region, several country & market specific policy initiatives, incentive offerings, emphasis on improving energy efficiency through adoption of innovative technologies, and enablers for reduction in carbon footprint are also being pursued and implemented by market stakeholders.

Our Asia Pacific Data Centre Market Maturity Index (through refined methodology & complimented with additional data validation efforts) forecasts the potential evolution of 30 markets across the region over the next decade. The parametric based weighted evaluation of the markets’ factors existing & planned capacities, vacancy levels, operator presence & scale and individual asset level build capacities. Our current update report covers key nuances of eight prominent primary markets (cities) – Tokyo, Singapore, Sydney, Hong Kong, China, Mumbai, Seoul, Jakarta and Johor, whilst also providing an overview of four secondary markets (cities) of Manila, Bangkok, Auckland and Ho Chi Minh. 

 
*For all analysis, Asia Pacific region includes Australia, Chinese Mainland, Hong Kong, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam only.