# Microsoft launches first cloud and AI data center in Thailand

- Link: https://www.thailand-business-news.com/companies/139030-microsoft-launches-first-cloud-and-ai-data-center-in-thailand
- Published: 2024-05-03T07:58:00+07:00
- Author: J. Allan

Microsoft has announced its first investment in a cloud and AI data center in Thailand.

## Key takeaways

 * Microsoft announced the development of its first cloud and AI data center investment
   in Thailand.
 * Chairman and chief executive officer Satya Nadella made the announcement at the
   Microsoft Build: AI Day in Bangkok.
 * The new cloud and AI infrastructure center will bring AI skilling opportunities
   for 100,000 people.

The announcement was made by the Chairman and chief executive officer Satya Nadella
in front of some 2,000 developers and business tech leaders at the Microsoft Build:
AI Day in Bangkok.

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The initiative’s main goal will be to help develop the AI and tech industry in the
country.

Satya Nadella, Chairman and CEO, Microsoft stated “Our new datacenter region, along
with the investments we are making in cloud and AI infrastructure, as well as AI
skilling, build on our long-standing commitment to the country – and will help Thai
organizations across the public and private sector drive new impact and growth

The new cloud and AI infrastructure center will bring AI skilling opportunities 
for 100,000 people.

Microsoft  also announced a [broader commitment](https://aka.ms/AAq8dax) to provide
AI skilling opportunities for 2.5 million people in the Association of Southeast
Asian Nations (ASEAN) member states by 2025. This training and support will be delivered
in partnership with governments, nonprofit and corporate organizations, and communities
in Thailand, Indonesia, Malaysia, the Philippines, and Vietnam. 

Microsoft will work on the initiative along with the Royal Thai Government amid 
the signing of a memorandum of understanding (MoU) to develop the first cloud and
AI data center in Thailand.

Several other organizations in Thailand are working with Microsoft to explore new
possibilities with AI. They include the nation’s largest privately held company,
Charoen Pokphand Group, and leading petrochemical and refining business, PTT Global
Chemical Public Company Limited. 

Microsoft also collaborates with Thailand’s National Cyber Security Agency to provide
information on internet safety, cyber threats and vulnerabilities, and other related
guidance to enhance the nation’s cybersecurity posture in the AI era. The Ministry
of Finance, meanwhile, is using the power of AI to enhance cross-agency data collaboration,
which will unlock deeper insights that support policy development towards a more
financially inclusive economy for Thailand.

Prime Minister Thavisin said “Our ‘Ignite Thailand’ vision for 2030 aims to achieve
the goal of developing the country’s stature as a regional digital economy hub that
significantly enhances our innovation and R&D capabilities while also strengthening
our tech workforce,” said Prime Minister Thavisin. 

## A fast growing market in Thailand

Over the last few years the AI market has been growing rapidly in Thailand. According
to [Statista](https://www.statista.com/outlook/tmo/artificial-intelligence/thailand),
The market size of the artificial intelligence market is projected to reach US$951.10m
in 2024. The market size is expected to show an annual growth rate (CAGR 2024-2030)
of **28.55%**, resulting in a market volume of US$4,292.00m by 2030.

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According to [research by Kearney](https://www.kearney.com/service/digital-analytics/digital/article/-/insights/racing-toward-the-future-artificial-intelligence-in-southeast-asia),
AI could contribute nearly US$1 trillion to Southeast Asia’s gross domestic product
by 2030, with Thailand poised to capture US$117 billion of this amount. 

## What are the potential windfalls for Thailand ?

Improved connectivity: The data center will enhance Thailand’s connectivity infrastructure,
providing faster and more reliable internet services for businesses and individuals.

Boost to the technology sector: The establishment of a data center will support 
the growth of the local technology sector by encouraging innovation, collaboration,
and knowledge sharing among tech companies.

Foreign investment attraction: The presence of a state-of-the-art data center can
attract foreign companies looking to expand their operations in Thailand. This can
lead to increased foreign direct investment, bringing in capital and expertise.

Data security and privacy: The data center will prioritize high-level security measures
to protect sensitive data, fostering trust among businesses and consumers. This 
can result in increased confidence and utilization of digital services.

Catalyst for research and development: The data center can serve as a hub for research
and development activities in areas like artificial intelligence, big data analytics,
and machine learning. This can fuel innovation and contribute to technological advancements
in the country.

Training and skill development: The data center will require skilled professionals
to operate and maintain its infrastructure. This can lead to the development of 
training programs and initiatives to upskill the local workforce, contributing to
a more tech-savvy workforce in Thailand.

Sustainable technology practices: The data center can incorporate sustainable technologies,
such as energy-efficient systems and renewable energy sources, leading to a reduced
environmental impact and promoting sustainable practices in the technology sector.

Overall, the establishment of a data center in Thailand has the potential to drive
economic growth, technological advancement, job creation, and enhanced connectivity,
positioning the country as a regional hub for digital innovation.
