# Global Investor Demand Fuels Thailand’s Data Center Growth

- Link: https://www.thailand-business-news.com/investment/204522-global-investor-demand-fuels-thailands-data-center-growth
- Published: 2025-03-24T09:04:00+07:00
- Author: Daniel Lorenzzo

**Bangkok’s focus on foreign investment and collaboration supports Thailand’s shift
to a sustainable, digital economy. Major firms and projects indicate strong growth
in data centers, especially in Bangkok and Chonburi.**
**Key View**

 * Bangkok’s proactive approach to fostering foreign investment and sectoral collaboration
   suggests a critical role in Thailand’s transition to a sustainable and digitally
   competent economy, with the only other sub-market, Chonburi, being a meaningful
   contender as another sub-market in Thailand.
 * The presence of major international tech firms and Chinese hyperscalers, alongside
   local telecom operators, reflects a bullish investor sentiment towards Thailand’s
   growing data centre capacity, projected to reach 386MW by 2027.

International investors within Thailand include **AWS**, however other CSPs and 
large data customers such as **Alibaba Cloud, ByteDance and Tencent** also have 
a presence, servicing China-based customers. This also extends to telecoms operators,
such as AIS announcing that it will deploy Oracle Alloy in its data centres and 
Proen entering into a joint venture with Edgnex (under DAMAC Group). Investor sentiment
remain bullish towards Thailand’s data centre market, including Microsoft, who also
plans to expand its presence within the region. According to our estimates, the 
market will stand at 386MW of live data centre capacity by 2027, based on current
projects under construction and developers’ timelines.

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Thailand remains to be of significant interest to international investors, data 
centre platforms and the public sector. DayOne, the international unit of Mainland
China-based data Centre operator, GDS, looks to invest USD1bn over the next five
years towards digital infrastructure in Thailand, with their recent development 
including its Chonburi Tech Park (outside Bangkok) data centre campus.

Separately, the Thailand Board of Investment (BOI) had approved three data centre
projects within Thailand, worth USD2.7bn, in the latest development of South East
Asian markets contending towards building their respective digital hubs. This includes
regional leader, Singapore, as well as other rapidly evolving digital economies 
within Malaysia and Vietnam, all of which have received interest for hyperscalers
as part of their AI build out.

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While activity has been plentiful in Bangkok, there remains concentration, with 
the only other relevant sub-market being Chonburi, where growth is expected to pick
up and contend meaningfully with Bangkok by 2026. Despite this, GSA Data Center 
02 looks to allocate USD400mn towards a 35MW data centre in Chonburi Province.

Thailand’s data centre industry has experienced remarkable growth, driven by a surge
in international investor interest. As businesses increasingly shift towards digital
operations, the demand for reliable and secure data storage solutions has skyrocketed.
This trend is particularly evident in Thailand, where the government has actively
promoted the nation as a regional digital hub. The establishment of supportive policies
and a favorable business environment has attracted numerous foreign investments,
propelling the expansion of data centre capabilities.

International investors are drawn to Thailand not only for its strategic location
in Southeast Asia but also for its robust infrastructure and skilled workforce. 
Major global companies are setting up state-of-the-art data centres to cater to 
the needs of both local and international clients. This influx of capital is not
only enhancing technological capacity but also creating jobs and fostering technological
innovation, further solidifying Thailand’s position in the global digital economy.

As Thailand continues to evolve as a data centre hub, the implications extend beyond
just economic growth. Enhanced data centre infrastructure promotes digital accessibility,
benefiting various sectors such as finance, healthcare, and e-commerce. The collaboration
between local authorities and international investors signifies a positive step 
towards establishing a sustainable digital ecosystem, ensuring that Thailand remains
competitive in an increasingly data-driven world.
[Read More](https://www.fitchsolutions.com/bmi/information-technology/international-investor-interest-drives-thailands-data-centre-expansion-19-03-2025)
