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Business Standard
5 days ago
- Business
- Business Standard
Mumbai is 6th globally in under-construction data centre capacity: Report
Mumbai is fast emerging as a data centre hub, ranking sixth globally in the under-construction capacity, surpassing global hubs like London and Dublin, and 7th most established data centre market in the Asia-Pacific (APAC) region, according to a report by a global commercial real estate services provider. At the end of 2024, the city had 335 megawatts (MW) of data centre capacity under construction, which, once completed, will expand its operational capacity by 62 per cent, the report by Cushman & Wakefield stated. Mumbai also accounts for 42 per cent of India's projected under-construction capacity. Digital infrastructure upgrades in the city further support the growth of data centres. 'India's data centre sector has attracted prominent international operators and investors, even as domestic players continue to expand capacity. The next few years will see India add over 2.7 Gw of capacity across under-construction and planned projects, reinforcing its position as a future-ready digital infrastructure powerhouse,' Gautam Saraf, executive managing director – Mumbai & new business, India, Cushman & Wakefield, said, According to a separate report by Cushman & Wakefield, 2025 may witness the completion of three crucial undersea data cable projects landing in Mumbai. These are expected to significantly increase India's internet capacity and speed, enhancing inter-regional digital connectivity with Africa, Europe, the Middle East, and Asia. The completion of these projects will further elevate Mumbai's position as a major connectivity hub in the Southeast Asian region. Also, Pune is ranked fourth among APAC's top emerging data centre markets. The city is rapidly becoming a preferred destination for hyperscalers and enterprise-grade colocation facilities. As of Q1 CY25, Pune's operational data centre stock stands at 112 IT Mw. With an additional 190 IT Mw of capacity currently in the under-construction or planned stages, across key corridors such as Hinjewadi and Pimpri-Chinchwad. Major players, including STT GDC, Nxtra by Airtel, and IronMountain, are anchoring their presence in the region, attracted by Pune's favourable climate, skilled talent pool, dependable power infrastructure, and strategic connectivity to Mumbai's cable landing stations, the report said. Ten of the world's 30 largest data centre markets are now in APAC, with 1.6 Gw of new capacity coming online, bringing the region's total operational data centre capacity to 12.2 Gw. The development pipeline has an additional 14.4 Gw of capacity currently under construction or planned. The key drivers, such as 5G rollouts, increased cloud adoption, rising digital content consumption, and expanding IoT use cases, continue to accelerate demand in the region's data centre sector. These trends have attracted sustained investor interest, supported by rising occupancy levels, stable rental yields, and long-term growth prospects from hyperscale and colocation expansions.
Business Times
09-05-2025
- Business
- Business Times
China's AI firms drive Southeast Asia data centre boom amid US chip export curbs
[HO CHI MINH CITY] Chinese firms are ramping up artificial intelligence (AI) infrastructure leases across South-east Asia in a long-term push to globalise compute workloads as tighter US controls on Nvidia's advanced chips drive demand to digital hubs such as Singapore, Malaysia, Indonesia – and increasingly Vietnam and Thailand. Industry sources note that Chinese hyperscalers such as Alibaba Cloud, Tencent and Huawei have also been steadily deepening their presence in South-east Asia through joint ventures (JVs) as they seek to sidestep geopolitical friction and secure scale. Mickael Driol, chief executive at Mekong Partners, a Shanghai-based advisory firm specialising in corporate services, said: 'We're already seeing targeted capacity reservations by Chinese clients that stretch five to seven years into the future, particularly for AI-focused data centres in Malaysia and Indonesia.' Vietnam and Thailand are also gaining traction alongside established data hubs amid this rising influx of Chinese AI demand, Driol added. According to Dedi Iskandar, Asia-Pacific regional director at datacenterHawk, a global data centre real estate analytics platform, demand from China began surging in the third quarter of last year, with investor interest in Johor, Malaysia, and Batam, Indonesia, fuelled by favourable regulations, lower costs and generous subsidies. Throughout 2024 and into 2025, both have experienced data centre investment booms, driven by spillover from Singapore's temporary moratorium on new developments. This had happened particularly within their respective Special Economic Zones that offer attractive incentives and strengthened infrastructure in terms of submarine cable connectivity and electricity supply. A NEWSLETTER FOR YOU Friday, 8.30 am Asean Business Business insights centering on South-east Asia's fast-growing economies. Sign Up Sign Up The shift is being felt on the ground by regional operators, who are seeing an uptick in enquiries and bookings from Chinese clients shut out of direct server access. 'We actually see a lot of interest in China, because people there would no longer get their hands on servers, and that has led to a big demand for data centres and AI infrastructure (in the region),' said Zhao Jiajun, ST Telemedia Global Data Centres (STT GDC) senior business development director of South-east Asia, at an event last month in Ho Chi Minh City, Vietnam. Headquartered in Singapore, STT GDC operates data centres globally, including facilities in Indonesia, the Philippines, Malaysia and Vietnam. Strategic nodes of China's AI clout After the US imposed its first export controls on AI chips to China in October 2022, Chinese buyers allegedly turned to third-party traders in Taiwan and South-east Asia to acquire Nvidia's high-end graphics processing units (GPUs). They include the Blackwell and H100 chips, which are globally sought after for their ability to accelerate AI workloads. However, growing regulatory scrutiny has prompted Chinese firms to adopt indirect access models. Instead of importing restricted chips, they are now leasing AI compute from foreign providers that legally operate high-end hardware. Regional infrastructure providers, say market watchers, are increasingly acting as neutral intermediaries, often structured through holding companies in Singapore or Jakarta to deliver GPU-as-a-service and AI-as-a-service solutions. Their geographical proximity helps ensure low latency and operational efficiency for Chinese clients. According to Nvidia's latest filings, China accounted for roughly 13 per cent of the US chip giant's 2024 sales, down from 21 per cent in 2022. In contrast, revenue billed through Singapore – used as a centralised invoicing hub – rose to 18 per cent, up from 8.5 per cent two years earlier. With actual uptake in Singapore accounting for less than 2 per cent, Nvidia noted that products were 'almost always shipped elsewhere'. 'Some (Chinese) hyperscalers have also expanded quietly through joint ventures with local telcos or real estate investors to avoid geopolitical friction while gaining scale quickly,' Driol added, referring to the likes of Alibaba Cloud, Tencent Cloud and Huawei Cloud. He also observed the increasing demand from China-based AI labs and machine learning startups in fields such as online education, fintech, gaming and industrial automation, which are looking to train foundation models abroad by leveraging US-sourced GPU clusters located within more geopolitically stable ecosystems in Asean. 'This is reshaping the digital map of South-east Asia, turning previously secondary locations into strategic nodes of China's AI and cloud expansion plans,' he added. Long-term shift While China is a major consumer of AI chips, its domestic production of advanced AI chips is limited. Experts believe that as long as this imbalance persists, China's appetite for overseas compute power will continue to grow, especially in the light of its push for generative AI, autonomous driving and robotics. 'With China's domestic supply bottlenecked and hyperscaler capacity in Beijing and Shenzhen already oversubscribed, the logical overflow will continue to be routed through data centres in Asean,' Driol stated. Unlike AI inference workloads, which require processing servers located closer to the point of consumption, AI model training is location agnostic. Mayank Srivastava, chief executive at BDx Data Centers, said: 'It does not depend on the location. What matters most is the service cost and renewable power supply.' Headquartered in Singapore, BDx extends its AI infrastructure footprint across Indonesia and Greater China. In April, BDx announced that its 500-megawatt CGK4 facility in Indonesia was among the archipelago's first data centre parks to achieve Nvidia certification to deliver scalable and high-performance infrastructure for AI and advanced computing workloads. Srivastava declined to disclose BDx's customer portfolio of the AI-specialised build, but he confirmed that it is serving clients both within and outside of Indonesia. It is also worth noting that trends in terms of data localisation and digital transformation are creating growing domestic needs for compute resources, either from local AI-focused startups or global hyperscalers seeking to enhance end-users' digital experience by utilising edge infrastructure inside the country. While shifting geopolitical dynamics have raised concerns about short-term disruptions in some countries' access to critical US-supplied chips, industry insiders remain optimistic that these challenges will be resolved within a few years. 'AI is going to be like a utility,' said Srivastava. 'People will find a way. Over a period of two to three years, you will find a lot of democratisation happening for all of the infrastructure, especially chip hardware that is required for AI.' This is attributed to rapid technological advancements, exemplified by China's development of the AI chatbot DeepSeek with lower cost and less advanced chips compared with its US equivalent ChatGPT. 'Governments have taken note of AI; they realise that it's better to be prepared for AI than lose out in the race,' he said. Additional reporting by Tan Ai Leng in Kuala Lumpur
Zawya
13-03-2025
- Business
- Zawya
ST Telemedia Global Data Centres Accelerates AI Ambitions, Achieves Certification under NVIDIA DGX-Ready Data Center Program
SINGAPORE - Media OutReach Newswire - 13 March 2025 - ST Telemedia Global Data Centres (STT GDC), one of the world's fastest-growing data centre colocation service providers headquartered in Singapore, today announced it is now an NVIDIA colocation partner. Two of its data centre facilities in Southeast Asia (SEA) – STT Singapore 6, and STT Bangkok 1 – have achieved certification in the NVIDIA DGX-Ready Data Center programme. These are the first facilities in STT GDC's portfolio to achieve this certification. The NVIDIA DGX platform is purpose-built for enterprise AI, powering AI workloads spanning analytics, training, and inference. It offers advanced compute density, performance and scale with a single, unified system that can power the complete enterprise AI lifecycle. The NVIDIA DGX-Ready Data Center certification enables STT GDC to offer our customers access to world-class, state-of-the-art data centre facilities to run their most important AI workloads. STT GDC is among the first Singapore-headquartered companies to achieve this certification, recognising its continued focus on supporting the global growth ambitions of businesses as they transition from the digital era to the intelligent era. This is driven by accelerated computing, a key driver of AI innovation, and by STT GDC's ability to support advanced AI capabilities and next-generation infrastructure, such as NVIDIA DGX GB200 systems. STT GDC's AI-ready data centres are designed to accommodate the thermal demands of such cutting-edge technology, with support for both immersion cooling and direct-to-chip cooling technologies. "The DGX-Ready Data Center certification helps ensure that our customers have access to the robust infrastructure and expertise required to deploy and scale high-performance AI workloads. Achieving this certification underscores our commitment to supporting the rapid growth of AI adoption across industries, helping our customers focus on innovation, accelerate their AI initiatives with confidence and achieve a quicker time-to-value for their AI investments," said Daniel Pointon, Group Chief Technology Officer, ST Telemedia Global Data Centres. "As organizations embrace AI to enhance customer experiences and drive better business outcomes, robust environments that are optimized for AI infrastructure become critical," said Tony Paikeday, senior director of AI systems at NVIDIA. "STT GDC's achievement of the NVIDIA DGX-Ready Data Center certification empowers enterprises in Southeast Asia to simplify their AI initiatives with optimized, high-performance infrastructure and facilities that enable the delivery of data-fueled insights sooner." AI continues to transform industries globally, driving innovation in everything from predictive analytics to autonomous systems. Worldwide spending on AI is expected to more than double by 2028, reaching US$632 billion [1]. AI has the potential to fundamentally disrupt global markets by innovating new business models and offerings. Strategic investments in AI will be necessary to enable businesses to both unlock competitive advantage and maximise the full potential of AI. [1] Worldwide Spending on Artificial Intelligence Forecast to Reach $632 Billion in 2028, According to a New IDC Spending Guide, August 19, 2024 Hashtag: #STTelemedia The issuer is solely responsible for the content of this announcement. About ST Telemedia Global Data Centres ST Telemedia Global Data Centres (STT GDC) is one of the fastest-growing data centre providers with a global platform serving as a cornerstone of the digital ecosystem that helps the world to connect. Powering a sustainable digital future, STT GDC operates across Singapore, the UK, Germany, Italy, India, Thailand, South Korea, Indonesia, Japan, the Philippines, Malaysia and Vietnam, providing businesses an exceptional foundation that is built for their growth anywhere. For more information, visit ST Telemedia Global Data Centres
Korea Herald
10-03-2025
- Business
- Korea Herald
LS Eco Energy supplies power cables for Philippines' largest data center
LS Eco Energy, a Vietnam-based cable manufacturer under Korea's LS Cable & System, announced Monday that its Vietnamese subsidiary, LS-VINA, has supplied medium- and low-voltage power cables for STT Fairview Campus, the largest internet data center in the Philippines. The campus is currently under construction by global internet data center, or IDC, provider STT GDC near Quezon City, Manila. STT GDC, a wholly owned subsidiary of ST Telemedia, operates under the Singaporean state-owned sovereign wealth fund, Temasek, and manages over 110 IDC facilities worldwide across Singapore, China, India and the UK. Once completed, the facility will offer 124 megawatts of information technology capacity, catering to artificial intelligence and cloud companies in the region. Amid the rapid expansion of AI and cloud industries in Southeast Asia, the local IDC market is projected to grow from around $8.8 billion in 2023, with the annual growth rate exceeding 10 percent by 2028. "Large-scale IDC projects are currently underway not only in the Philippines but also in major Southeast Asian countries, including Vietnam, Indonesia and Malaysia," said LS Eco Energy CEO Lee Sang-ho. "We plan to actively target the Southeast Asian IDC market by leveraging our production competitiveness." Meanwhile, LS Eco Energy is accelerating its global expansion, having recently begun exporting aluminum power cables to the US and achieving strong annual performance. The company is also exploring new business opportunities in submarine cables and rare-earth materials.
