According to a report by Moody’s Rating, Asia Pacific (APAC) data centre capacity is expected to grow at a compound annual average rate of 20 per cent through 2028, involving an investment of about $564 billion, as rising computing demand fuels expansion.
Moody’s said in a note that the data centre capacity in APAC is projected to increase to about 24,800 megawatt (MW), more than double the current capacity of over 10,500 MW. It also noted that APAC will constitute about 30 per cent of global capacity expansion over the next five years.
As per report, there is a strong pipeline of over 4,400 MW under construction in key APAC markets, about 75 per cent of which is in China, Japan, Australia and India, and most of this is expected to be completed in 2024-25.
It also noted that hyperscalers will dominate demand for new data centre capacity and include large internet service providers, cloud and network service providers, and multimedia companies. Moreover, capacity in emerging data centre markets, including India, Indonesia, Malaysia, Thailand and Philippines, will record growth rates of 29 percent to 48 per cent through 2025 given the smaller amount of existing capacity today, coupled with governments’ digital agendas and investor support.
