Thailand approves $2.7 billion of investments in data centres and cloud services

Thailand approves $2.7 billion of investments in data centres and cloud services

  • 17.03.2025 12:11
  • telecom.economictimes.indiatimes.com
  • Keywords: dangerous, success

Thailand has approved $2.7 billion in investments for data centers and cloud services, driven by an AI boom in Southeast Asia. Major projects include those from Beijing Haoyang Cloud&Data Technology, Empyrion Digital, and GSA Data Center 02.

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Estimated market influence

Beijing Haoyang Cloud&Data Technology

Positivesentiment_satisfied
Analyst rating: N/A

Leading the investment in data centers with significant financial commitment.

Empyrion Digital

Positivesentiment_satisfied
Analyst rating: N/A

Contributing to Thailand's tech sector growth through investments.

GSA Data Center 02

Positivesentiment_satisfied
Analyst rating: N/A

Local company expanding data center infrastructure in Thailand.

Bytedance

Positivesentiment_satisfied
Analyst rating: N/A

Leading the AI boom with substantial investment in Thailand's tech sector.

TikTok

Positivesentiment_satisfied
Analyst rating: N/A

Part of Bytedance, contributing to data center expansion in Thailand.

Alphabet Inc

Alphabet Inc

Positivesentiment_satisfied
Analyst rating: Buy

Investing in Thailand's growing tech sector with a $1 billion commitment.

Google

Positivesentiment_satisfied
Analyst rating: N/A

Part of Alphabet, expanding data center presence in Thailand.

Amazon Web Services

Positivesentiment_satisfied
Analyst rating: N/A

Investing heavily in Thailand's tech infrastructure with a $5 billion plan over 15 years.

Microsoft

Microsoft

Positivesentiment_satisfied
Analyst rating: Strong buy

Announcing the opening of its first regional data center in Thailand, enhancing local tech capabilities.

Context

Business Insights and Market Implications

  • Total Investment Approved: Thailand has approved 90.9 billion baht ($2.7 billion) in investments for data centers and cloud services.

  • Key Investors:

    • Beijing Haoyang Cloud&Data Technology (China): Proposed a 300 MW data center valued at 72.7 billion baht.
    • Empyrion Digital (Singapore): Investment details not specified but part of the approved projects.
    • GSA Data Center 02 (Thailand): Proposed a 13.5 billion baht investment for a 35 MW data center.

  • Market Trend: The AI boom is driving rapid infrastructure development in Southeast Asia, with Thailand emerging as a key hub for data centers and cloud services.

  • Notable Projects:

    • TikTok (Bytedance): Announced plans to set up data hosting services valued at 126.8 billion baht in Thailand.
    • Google (Alphabet Inc.): Committed $1 billion investment in Thailand.
    • Amazon Web Services (AWS): Announced a $5 billion investment over 15 years.
    • Microsoft: Plans to open its first regional data center in Thailand.

  • Strategic Considerations:

    • The investments highlight Thailand's growing appeal as a tech and digital services hub in Southeast Asia.
    • Major global tech companies are competing to establish a presence in the region, driven by increasing demand for cloud services and data storage.
    • The move underscores Thailand's strategic position to leverage its regulatory environment and infrastructure for tech growth.

  • Competitive Dynamics:

    • Local and foreign firms are vying for market share in Thailand's expanding tech sector.
    • The presence of major global players like AWS, Google, and Microsoft will intensify competition while driving innovation and service quality.

  • Long-Term Effects:

    • The investments are expected to boost Thailand's digital economy, create jobs, and position the country as a regional tech hub.
    • The growth of data centers may also have implications for energy consumption and infrastructure development in Thailand.