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5000x1800 Asia Pacific 4
— Blog

Powering the Asia Pacific Data Center Market

Mark Smith, Managing Director - Asia Pacific at Digital Realty
July 23, 2020

Think of data centers as the central nervous system for the digital economy. Businesses that once mapped digital strategy in one- to three-year phases must now scale their initiatives in a matter of weeks. They rely on us to take the complexity out of growing in a digital age and meeting the demands of building digital infrastructure. As the Asia Pacific digital economy accelerates, we are working hard to ensure that we provide a trusted foundation for digital businesses in the region.

Recently, we announced the development of a new, carrier-neutral data center facility in a purpose-built building in Kwai Chung, Hong Kong - to be named Digital Realty Kin Chuen (HKG11).

Aside from serving global and regional customers, this facility will support the continued development of Hong Kong as a key technology and data hub. It will also drive the adoption of cloud computing services and solutions across the region. Hong Kong is recognized as a regional leader in cloud readiness, having claimed the top spot in the recent Cloud Readiness Index based on cloud infrastructure, security, and regulation.

Asia Data Center Power

A thriving data center market

According to Structure Research, the Asia Colocation data center market is on track to become the largest market in the world by 2021. It will be well ahead of other fast-growing markets like North America and Europe, growing at 12.2% CAGR. This growth is further accelerated by the pandemic as we see the increased intensity of data center capacity demands.

Within this fast-growing region, we are committed to listen closely to the continued needs and challenges of our customers. Before the pandemic, many enterprises were already on their digital transformation journeys with emerging technologies such as AI, 5G, blockchain and IoT placing new demands on IT infrastructure. The explosion of such tech applications is driving data centers to be closer to customers, and we foresee a higher demand for data centers within Asia Pacific for the foreseeable future. We already have data centers in Singapore, South Korea, Hong Kong, Tokyo, Osaka, Melbourne and Sydney, and we remain optimistic about the potential of this region.

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