Southeast Asia Data Centre Boom: 303 Facilities and 162 in Pipeline
Malaysia, Thailand, and Indonesia lead explosive growth across the region as hyperscalers seek alternatives to Singapore.
Southeast Asia's data centre market has reached 303 operational facilities with an additional 162 in the development pipeline, according to industry analysis. Malaysia leads the expansion with DayOne Data Centers committing MYR 28 billion ($7 billion) by end of 2026, while Thailand's Board of Investment has approved over 100 billion baht ($3.1 billion) in data centre investments.
The regional boom is driven by Singapore's post-moratorium supply constraints, which have pushed operators to explore alternatives in neighbouring countries. Johor Bahru in southern Malaysia has emerged as a primary overflow market, offering lower costs and proximity to Singapore's connectivity ecosystem. Indonesia's government cloud mandate is driving domestic capacity requirements.
Key developments include Google's $237 million contract for Malaysian infrastructure, Vantage's fourth Malaysian facility (16 MW KUL1), and NTT's fourth facility in Thailand's Chonburi province. The region is expected to add over 2 GW of new capacity by 2028.
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