APAC Data Centre H2 2023 Update

Colo Hyperscale Cloud Telco

ASIA PACIFIC ESTABLISHED MARKET

KEY INDICATORS*

LOYANG

25 OPERATORS, 51 DATA CENTRES 332MW UC / PLANNED

973MW IN OPERATION 1% COLO VACANCY

BEDOK TAMPINES

PAYA LEBAR

SUNVIEW - JURONG

* Definition: Key indicators are based on operational Hyperscale Cloud, Colo, Edge & Telco data centre facilities in the market and excludes Captive & ICT.

MARKET OVERVIEW

Despite the high property and construction costs when compared to neighbouring South-East Asian markets and other primary markets in Asia Pacific, Singapore continues to be a leading data centre hub for it’s regional and global connectivity. It will soon follow Tokyo as Asia Pacific’s next 1GW city market and continues to boasts the lowest colocation vacancy rate of 1% within the region, strongly indicating that demand outstrips supply. Demand continues to be fueled by Western and Chinese hyperscalers in the market, as well as key sectors such as banking and finance. The 80MW of capacity awarded to Equinix, GDS, Microsoft, and the AirTrunk / ByteDance consortium following the results of the Singapore Economic Development Board (EDB) and the Infocomm Media Development Authority (IMDA) pilot Data Centre – Call for Application (DC-CFA) exercise, contributed towards the 300+MW development pipeline, of which 103MW was added in H2 2023. In line with the sovereign state’s push towards more sustainable data centres operating practices, key operators and other related companies (as detailed under the ecosystem developments section of this Singapore update) remain focused on keeping ESG at the centres of their data centre strategies. Singtel, began construction of its largest data centre in Singapore, DC Tuas, which will be the highest power density and hyper-connected green data centre in Singapore. Upon completion in 2025, the facility, which is directly connected to several international submarine cables, will provide a 58MW IT power load capacity and incorporate next-generation cooling capabilities that are able to support customers’ rack density of up to 80kW per rack and boast a PUE below 1.3. Similarly, OVHcloud has expanded its footprint in Singapore with its second data centre and the most sustainable of all their data centres in Asia Pacific, boasting a PUE as low as 1.29 and a WUE (Water Usage Effectiveness) of 0.30l/kW. Global cloud service providers (CSP’s), including Google, Microsoft and AWS remain as the largest CSP’s in Singapore. The colocation operators such as STT Global Data Centres, Equinix, Digital Realty, Singtel, AirTrunk, Keppel Data Centres and Global Switch cumulatively account for more than 55% of operational capacity in Singapore.

ECOSYSTEM DEVELOPMENTS • Digital Realty announced a new cooling tower initiative, a first of its kind in Singapore, involving a process known as DCI electrolysis, at its SIN10 data centre, which aims to pioneer new levels of water conservation and efficiency in its data centres in Singapore. Since implementing the technology, the company reduced monthly blow-down water discharge at the facility by 90% and improved their water usage efficiency (WUE) by 15%. • Energy Market Authority (EMA) are looking to increase its generation capacity over the next five years, with greener and more energy efficient plants. The announcement was made at the ground-breaking ceremony of Keppel’ s new hydrogen-ready power plant on Jurong Island. The new plant will have a lower carbon footprint than conventional power plants and can operate on fuels with 30 per cent hydrogen content. • GDS has announced a partnership with SK ecoplant , an energy and environment affiliate of South Korean conglomerate SK Group , for the trial of fuel cell technology to power supply solutions for GDS's upcoming data centre in Singapore. • Hydroleap , a next-generation water technology company, has partnered with IX Technology , a Singapore based provider of data centre mechanical and electrical (M&E) infrastructure solutions, to improve water management in data centres across Singapore, Malaysia and Vietnam. Hydroleap’s patented Electro Oxidation Technology (HL-EO), which is being used by major blue-chip data centre companies and CapitaLand, is aimed at transforming water management in data centre cooling towers.