Two significant data centre projects in Thailand revealed

They were worth THB60 billion or nearly USD2 billion.

According to a Savills report, in November 2024, the Thailand Board of Investment (BOI) approved two significant data centre projects worth over THB60 billion. Quartz Computing Co., Ltd., a subsidiary of Google, is investing THB32.76 billion to establish its fifth hyperscale data centre in Asia, located in Chonburi.

“This initiative marks the first phase of Google’s broader US$1 billion investment plan in Thailand. The facility is expected to begin operations by 2027,” the report said. Similarly, Digital Land Services Co., Ltd., a subsidiary of GDS, is investing THB28 billion to develop another hyperscale data centre in Chonburi, with an opening slated for 2026.

Here’s more from Savills:

These facilities are designed to meet the growing demand for cloud services across the ASEAN region, driven by increased adoption of 5G, artificial intelligence (AI), and the Internet of Things (IoT). Thailand’s strategic location, coupled with its robust infrastructure, positions it as a vital hub for hyperscale data centres serving both regional and international markets.

As of November 2024, the BOI has received applications for 47 data centre and cloud service investment projects, amounting to a total value exceeding THB173 billion. These investments involve global players from the United States, Australia, China, Japan, and Singapore, underscoring Thailand’s attractiveness as a destination for data centre development.

The data centre market is expected to play a pivotal role in Thailand’s digital transformation, enabling innovations in sectors ranging from e-commerce to finance and healthcare. With continued investments in infrastructure and technology, Thailand is well-positioned to emerge as a leading digital hub in Southeast Asia, driving economic growth and fostering innovation in the years ahead.

In summary, Thailand’s evolving economic landscape, coupled with its rising prominence in the data centre industry, reflects its strategic importance in Southeast Asia. With robust infrastructure, a growing digital economy, and substantial foreign investment, the country is poised to capitalise on the digital transformation shaping the region.