Fuelled by strong market fundamentals and an increasing trend towards greater localisation of data centre facilities, total supply across nine rapidly emerging markets in Asia Pacific – Osaka, Melbourne, Jakarta, Manila, Hanoi, Taipei, Hyderabad, New Delhi, and Chennai – grew from just under 700 MW five years ago, to over 3,000 MW today, a meteoric increase of over 300% across, said Knight Frank. “In the first three quarters of 2022 alone, over 600 MW of new IT capacity has been added due to an increasing trend towards greater localisation of data centre facilities across these markets,” mentioned Knight Frank. Other cities in APAC include Melbourne, Jakarta, and Osaka, with each now registering more than half a gigawatt of aggregate IT supply.
In recent years, Melbourne has developed into a key data centre market, with renewed interest from local and regional operators poised to add close to 450 MW to the existing live supply. Jakarta has almost 400 MW of capacity committed or under construction, with several major hyper-scale cloud service providers advancing significant plans for self-builds in the city.
And Osaka continues to develop as an alternative data centre market to Tokyo, with a current live IT capacity exceeding 250 MW and over 250 MW in the pipeline.
“Previously, the Asia-Pacific region was dominated by a handful of ‘Tier 1’ markets. This is no longer the case as the trend toward decentralisation has seen both hyperscalers and data centre operators move to new markets. The latest report highlights these new markets, which we expect to continue to grow in parallel with some of the region’s more established hubs,” said James Murphy, APAC managing director at DC Byte.