Data centre market to grow by 24% this year
PUBLISHED : 29 Jul 2024 at 04:36
The government fully supports investments in data centres and cloud service projects in Thailand so it can become a digital economy hub, says government spokesman Chai Wacharonke.
Prime Minister Srettha Thavisin believes that putting money into such projects is vital for the development of the digital economy and will help establish the country as an important investment base for the international community, he says.
Making Thailand a digital economy hub is one of the eight goals under the government’s “Ignite Thailand” vision, he says.
The Board of Investment (BOI) supports the prime minister’s idea by holding discussions about the matter with large private organisations that are interested in investing in the country.
The BOI, he said, has allowed investments in 37 data centre and cloud service projects in several provinces, such as Bangkok, Samut Prakan, Chon Buri and Rayong.
The total investment in these projects has exceeded 98.5 billion baht, he says.
Many of the world’s leading companies are investing in data centre projects in Thailand, including the United States’ Amazon Web Service, which is establishing three data centres on a 25-billion-baht budget.
Others are Singapore’s Evolution Data Center, which has invested 4 billion baht; and Japan’s Telehouse, which has made a 2.7-billion-baht investment.
As for investors in cloud service projects, they include Alibaba Cloud and Huawei Technologies, which have invested 4 billion baht and 3 billion baht respectively.
Siam Commercial Bank (SCB)’s Economic Intelligence Center (EIC) predicted Thailand’s data centre market and public cloud service market are likely to grow by 24% and 29% respectively this year, pointing to the sector’s lively prospects.
“The prime minister is confident in Thailand’s readiness and potential,” Mr Chai said.
“He has been actively working on policies to lay a foundation for a digital economy.
“The fact that the world’s largest companies have invested in Thai data centre and cloud service projects is a testament to the country’s opportunity to become a digital economy hub,” Mr Chai said.