ASIA PACIFIC DATA CENTRE H1 2025 UPDATE

APAC SECONDARY MARKETS

H1 25

ASIA PACIFIC SECONDARY MARKETS

MANILA KEY INDICATORS*

CONTACTS

CLARO CORDERO JR. Director, Research, Consulting & Advisory Services, Philippines claro.cordero@cushwake.com

14 / 23 Operators / Data Centres

68MW In Operation

23MW / 93MW UC / Planned

44% Colo Vacancy

Operational data centre capacity in Manila has increased by 31% since H2 2024, reaching 68MW. However, demand has lagged behind supply, pushing the vacancy rate up to 44%. This is expected to ease in the coming months as newly added capacity begins to lease. In major acquisitions, Equinix announced acquisition of three carrier-neutral data centres – MN1, MN2 and MN3 from Total Information Management. The data centres cumulatively have about 1,000 racks installed and land for further expansion. PLDT launched a cable landing station in Davao to support the Apricot subsea cable, scheduled for completion in 2027. The cable will also land in Baler, Aurora, and establish direct links to Japan, Singapore, Indonesia, Taiwan, and Guam. Spearheaded by Google and Meta, the Apricot cable is set to enhance regional connectivity and data resilience. In parallel, Alibaba Cloud announced its plan to launch its second data centre in the Philippines, in October 2025. This expansion is part of its ongoing global rollout and reflects growing confidence in the growing demand for its services in the Philippine market. The Department of Information and Communications Technology (DICT) is advancing efforts to retire legacy 2G and 3G mobile networks, as part of their broader strategy to modernize the country’s telecommunications infrastructure and unlock spectrum for 4G and 5G services, thereby enhancing network speed, reliability, and overall connectivity. While the transition process is underway, a definitive shutdown timeline has yet to be established. Digital Edge signed a renewable energy agreement with First Gen Corporation to power its NARRA1 data centre in Laguna Technopark using hydroelectric energy. This marks a notable step toward greener operations and aligns with broader industry goals for carbon reduction.

DAVID PASTRANA david.pastrana@cushwake.com

HO CHI MINH CITY

KEY INDICATORS*

NGOC LE Data Centre Research & Consulting ngoc.le@cushwake.com

9 / 13 Operators / Data Centres

25MW In operation

15MW / 61MW UC / Planned

55% Colo Vacancy

Data centre development activity in Ho Chi Minh City remained relatively subdued over the past six months, with most key market indicators showing minimal or no movement. Despite the overall flat trajectory, several notable announcements signal a potential resurgence in the medium to long-term. Among domestic players, Viettel has commenced development of a large scale data centre campus at Tân Phú Trung Industrial Park. Once fully operational, the facility is expected to support approximately 10,000 racks and deliver over 140MW of IT load capacity, positioning it as one of the largest in the country. Similarly, CMC Corporation revealed plans to construct a 120MW data centre at the Saigon Hi-Tech Park (SHTP). The project’s first phase will deliver around 30MW of capacity, backed by an estimated investment of US$ 250million. On the international front, UAE-based data centre group G42 has expressed its intention to enter the Vietnamese market through a strategic partnership with local firms. The proposed investment involves the development of a US$ 2billion hyperscale data centre in Ho Chi Minh City, underscoring growing foreign interest in Vietnam’s digital infrastructure landscape. Complementing these developments, Vietnam’s new Data Law, effective 1 July 2025, introduces a comprehensive national data governance framework. The law classifies data into “core” and “important” categories, imposes strict controls on cross-border data transfers, and mandates licensing and escrow requirements for data-related businesses. Overseen by the Ministry of Public Security, the law treats data as a national security asset and imposes civil and criminal liabilities for non-compliance. This regulatory shift is expected to significantly influence both domestic and foreign investment strategies in Vietnam’s digital economy, reinforcing the importance of data sovereignty and cybersecurity in future infrastructure planning.

CUSHMAN & WAKEFIELD | ASIA PACIFIC DATA CENTRE MARKET OVERVIEW