Report Description

Thailand data center market is growing owing to growing data consumption. This has spurred the need to store and process data efficiently along with rising government investment to provide the physical data center space. The increasing availability of skilled workforce and operational and development cost advantage across various end-use industries have led to an increased focus on data center to overcome the situation of high data consumption. Companies are highly dependent on computer systems that drive their business operations. Improvement in inland and submarine connectivity and demand for electric vehicles and green energy solutions are rising in Thailand. In addition, 5G infrastructure investments in edge data centers have further boosted the demand for data centers. The need for secure facilities with resilient infrastructure such as reliable and redundant power supply and cooling and connectivity are further increasing the demand for more data centers in the country. Many enterprises are collaborating and adopting data centers as a cost-effective solution.

  • On March 28, 2023, Telehouse, world’s leading data centers providers, announced the partnership with JasTel Network Co., Ltd. aiming to be the leading interconnectivity in Thailand. With the partnership, the company aims to strengthen and increase connectivity options domestically and internationally as JasTel has a stable telecommunication network.

Moreover, the market is anticipated to be driven by the rising demand for digital age networking, are enabling businesses to progress toward digital transformation and produce new business outcomes by utilizing new digital age technologies such as the internet of things (IoT), cloud computing, and artificial intelligence (AI). Additionally, the growing demand for data and high bandwidth capacity, especially due to increasing smartphone users promotes the development of the Thailand data center market during the forecast period.

A data center is a physical location with networked computers, storage systems, and computational infrastructure that businesses utilize to store, gather, analyses, and disseminate massive quantities of data. It offers reliable storage without the glitches of portable technology, eliminating a portion of losses, reduce costs, manage data, and protect upcoming technology investments. Data centers are a crucial component of every organization, since they are created to support corporate applications and offer services such as productivity applications, high-volume e-commerce transactions, data storage, management, backup, and recovery. Edge data centers can assist reduce latency for real-time and data-intensive workloads, including big data analytics, artificial intelligence (AI), and content delivery apps, enhancing overall application performance and user experience. For enterprises that lack the space, personnel, or experience to deploy and operate all or part of their IT infrastructure on-site, managed data centers and colocation facilities are choices. Thailand’s data center industry is expanding rapidly in the age of digitization. With a predicted expansion driven by technologies such as artificial intelligence, machine learning, and analytics, the nation is ideally positioned to become a worldwide hub for data centers focusing on cloud computing.

Rapid Adoption of Cloud and Digital Transformation by Companies

People are flocking to the cloud because of its scalability and low cost. Several cloud service providers from across the world have revealed their availability zones in Thailand, particularly in locations such as Bangkok, Nonthaburi since they have strong fiber connection in addition to being close to clients. Three Availability zones (AZs) are being built by Amazon Web Services (AWS) in Bangkok to support high availability (HA), while maintaining Low Latency. Large enterprises such as Google Cloud has announced their plans to open its first cloud region in Thailand, aiming to accelerate the country's next stage of digital economic development. While most of the large enterprises already accelerated cloud adoption, medium-sized companies and small companies embarked on their cloud journey. Moreover, several investments by the enterprises in cloud and digital journey are aiding in developing the cloud infrastructure in Thailand. For instance, recently Huawei and Symphony Communication have signed a memorandum of understanding to accelerate cloud adoption and digital transformation supporting the Thailand government’s “Thailand 4.0’s” digital initiatives. Moreover, the development of 5G infrastructure, AI, robots, and the explosion in data-intensive industries such as edge computing and the Internet of Things (IoT) have all enjoyed full support of the Thai government. All these industries produce massive volumes of data, the majority of which must go through some sort of data centers. Furthermore, as cloud-managed services are a vital part of digital transformation, their demand will expand in the recent years. The government's efforts to transform Thailand into a global data hub have resulted in several regulations and reforms that have given the essential framework for this expansion, and more new firms are entering the market in the coming years. Therefore, the rapid adoption of cloud and digital transformation by companies are attributing the growth of the Thailand data center market.

Growth in Renewable Energy and Infrastructure

The promotion of renewable energy by the Thai government aims to lessen the country's reliance on fossil fuels and increase its contribution to mitigating the effects of global warming. Many data center service providers have invested in clean, renewable energy sources to run their existing and future facilities as a result of the rising data center power usage and the desire to reduce carbon footprint. The development of renewable energy in Thailand comprises biomass, biogas, small and large hydropower facilities, solar, wind, and other sources. Around 9% of Thailand's electricity was produced from renewable energy as of March 2022, as a result of the instability in crude oil prices. By 2037, the Thai government needs renewable energy to supply 30% of all energy used in the country. The objective was set to attain carbon neutrality by 2050 and net-zero greenhouse gas emissions by 2065. Also, the ability of service providers to boost electricity production and electrification has been made possible by the expansion in the establishment of facilities and installations of renewable energy infrastructure. The Thailand data center industry is still in the developing stage, as its growth in the industry is more adaptable and can adopt green technologies. Besides this, the country may strengthen its position as a champion for green data centers. Hence, renewable energy and infrastructure growth offer robust opportunities in the Thailand data center market.

Growing Acquisition and Investment Among Enterprises

The Thailand data center market is expanding as a result of an increase in mergers and acquisitions and investments by local and foreign businesses. With the favorable market condition and hyperscale demand, several enterprises have seen strong potential in data centers through the rise in cloud-based services. In August 2022, Bridge Data Centres, a majority-owned subsidiary of Chindata, successfully acquired a facility from local logistics real estate company WHA Corporation PCL in Samut Prakan, Thailand contributing growth of retail and wholesale colocation services in the Thai digital space. Also, several foreign companies have expressed interest in working with the country's advancements, including the production of electric vehicles, the installation of solar photovoltaic (PV) systems, and the development of renewable energy and data centers. Additionally, Thailand 2022 Investment Pledge for 39% worth up to USD 20 billion has attracted significant foreign direct investment (FDI), particularly in key sectors, including electronics, the supply chain for electric vehicles (EV), and data centers, making it the world's easiest place to conduct business and ranking third among ASEAN nations. Furthermore, the BOI (Board of Investment) promotion plan (2023-2027), are offering a variety of tax advantages and other benefits to businesses who are interested to invest in data center in Thailand. The BOI promotion program offers business facilitation services, exemptions from or reductions in import tariffs, and tax vacations lasting up to eight years. While more capital will increase the size and scale of projects as new investors come in, more data center enterprises are seeking to improve and upgrade their technology and cloud strategies. Thus, the increase in acquisitions and investments among the enterprises is fueling the growth of the Thailand data center market.



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Market Segmentation

The Thailand data center market is divided into solution, type, and end-user industry. Based on solution, the market is divided into IT infrastructure, general infrastructure, electrical infrastructure, mechanical infrastructure and others. Based on type, the market is segmented into corporate and web hosting. Based on end user industry, the market is divided into information technology & telecom, government, BFSI, healthcare, and others.

Market Players

KDDI (Thailand) Ltd., True Internet Data Center Co., Ltd (Thailand), CS LoxInfo Data Center, Tcc Technology Co Ltd (Thailand), NTT (Thailand) Ltd., G-Able Public Company Limited, AIS-CSL, Bridge Data Centers (Thailand) Ltd., JasTel Network Co., Ltd., and ST Telemedia Thailand Pte. Ltd. are among the major players that are driving the growth of the Thailand data center market.


Attribute

Details

Base Year

2022

Historical Years

2018 – 2021

Estimated Year

2023

Forecast Period

2024 – 2028

Quantitative Units

Revenue in USD Million and CAGR for 2018-2022 and 2024-2028

Report Coverage

Revenue forecast, company share, growth factors, and trends

Segments Covered

Solution

Type

End-User

Country scope

Thailand

Regional Scope

Central Thailand, Eastern Thailand, Southern Thailand, and Northern Thailand

Key Companies Profiled

KDDI (Thailand) Ltd., True Internet Data Center Co., Ltd (Thailand), CS LoxInfo Data Center, Tcc Technology Co Ltd (Thailand), NTT (Thailand) Ltd., G-Able Public Company Limited, AIS-CSL, Bridge Data Centers (Thailand) Ltd., JasTel Network Co., Ltd., ST Telemedia Thailand Pte. Ltd.

Customization Scope

10% free report customization with purchase. Addition or alteration to country, regional & segment scope.

Pricing and Purchase Options

Avail of customized purchase options to meet your exact research needs. Explore purchase options

Delivery Format

PDF and Excel through Email (We can also provide the editable version of the report in PPT/pdf format on special request)


Report Scope:

In this report, the Thailand Data Center Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

  • Thailand Data Center Market, By Solution:
    • IT Infrastructure
    • General Infrastructure
    • Electrical Infrastructure
    • Mechanical Infrastructure
    • Others
  • Thailand Data Center Market, By Type:
    • Corporate
    • Web Hosting
  • Thailand Data Center Market, By End User:
    • Information Technology & Telecom
    • Government
    • BFSI
    • Healthcare
    • Others
  • Thailand Data Center Market, By Region:
    • Central Thailand
    • Eastern Thailand
    • Southern Thailand
    • Northern Thailand

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Thailand Data Center market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

  • Detailed analysis and profiling of additional market players (up to five).

The Thailand Data Center market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1.   Product Overview

1.1.  Market Definition

1.2.  Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2.    Research Methodology

3.    Executive Summary

4.    Voice of Customer

4.1.  Brand Awareness

4.2.  Factors Considered for Considering Data Center

4.3.  Major Challenges Faced

4.4.  Key Satisfaction Level

5.    Thailand Data Center Market Outlook

5.1.  Market Size & Forecast

5.1.1. By Value & Volume

5.2.  Market Share & Forecast

5.2.1.  By Solution (IT Infrastructure, General Infrastructure, Electrical Infrastructure, Mechanical Infrastructure and Others)

5.2.2.  By Type (Corporate and Web Hosting)

5.2.3.  By End-User (Information Technology & Telecom, Government, BFSI, Healthcare and Others)

5.2.4.  By Region (Central Thailand, Eastern Thailand, Southern Thailand, and Northern Thailand)

5.2.5.  By Company (2022)

5.3.  Market Map

6.    Central Thailand Data Center Market Outlook

6.1.  Market Size & Forecast

6.1.1.  By Value

6.2.  Market Share & Forecast

6.2.1.  By Solution

6.2.2.  By Type

6.2.3.  By End-User

7.    Eastern Thailand Data Center Market Outlook

7.1.  Market Size & Forecast

7.1.1.  By Value

7.2.  Market Share & Forecast

7.2.1.  By Solution

7.2.2.  By Type

7.2.3.  By End-User

8.    Southern Thailand Data Center Market Outlook

8.1.  Market Size & Forecast

8.1.1.  By Value

8.2.  Market Share & Forecast

8.2.1.  By Solution

8.2.2.  By Type

8.2.3.  By End-User

9.    Northern Thailand Data Center Market Outlook

9.1.  Market Size & Forecast

9.1.1.  By Value

9.2.  Market Share & Forecast

9.2.1.  By Solution

9.2.2.  By Type

9.2.3.  By End-User

10. Market Dynamics

10.1.Drivers

10.2.Challenges

11. Market & Acquisitions/ Recent Development

12. Policy and Regulatory Framework

13. Company Profiles (10 Major Companies)

13.1. KDDI (Thailand) Ltd.

13.1.1. Business Overview

13.1.2. Key Revenue and Financials (If Available)

13.1.3. Recent Developments

13.1.4. Key Personnel

13.1.5. Key Product/Services

13.2. True Internet Data Center Co., Ltd (Thailand)

13.2.1. Business Overview

13.2.2. Key Revenue and Financials (If Available)

13.2.3. Recent Developments

13.2.4. Key Personnel

13.2.5. Key Product/Services

13.3. CS LoxInfo Data Center

13.3.1. Business Overview

13.3.2. Key Revenue and Financials (If Available)

13.3.3. Recent Developments

13.3.4. Key Personnel

13.3.5. Key Product/Services

13.4. Tcc Technology Co Ltd (Thailand)

13.4.1. Business Overview

13.4.2. Key Revenue and Financials (If Available)

13.4.3. Recent Developments

13.4.4. Key Personnel

13.4.5. Key Product/Services

13.5. NTT (Thailand) Ltd.

13.5.1. Business Overview

13.5.2. Key Revenue and Financials (If Available)

13.5.3. Recent Developments

13.5.4. Key Personnel

13.5.5. Key Product/Services

13.6. G-Able Public Company Limited

13.6.1. Business Overview

13.6.2. Key Revenue and Financials (If Available)

13.6.3. Recent Developments

13.6.4. Key Personnel

13.6.5. Key Product/Services

13.7. AIS-CSL

13.7.1.  Business Overview

13.7.2.  Key Revenue and Financials (If Available)

13.7.3.  Recent Developments

13.7.4.  Key Personnel

13.7.5.  Key Product/Services

13.8. Bridge Data Centers (Thailand) Ltd.

13.8.1. Business Overview

13.8.2. Key Revenue and Financials (If Available)

13.8.3. Recent Developments

13.8.4. Key Personnel

13.8.5. Key Product/Services

13.9. JasTel Network Co., Ltd.

13.9.1.  Business Overview

13.9.2.  Key Revenue and Financials (If Available)

13.9.3.  Recent Developments

13.9.4.  Key Personnel

13.9.5.  Key Product/Services

13.10.ST Telemedia Thailand Pte. Ltd.

13.10.1.  Business Overview

13.10.2.  Key Revenue and Financials (If Available)

13.10.3.  Recent Developments

13.10.4.  Key Personnel

13.10.5.  Key Product/Services

14. Strategic Recommendations

14.1.Dominating Market by Solution

14.2.Fastest Growing Market by End-User

14.3.Dominating Market by Region

15. About Us & Disclaimer

Figures and Tables

Frequently asked questions

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KDDI (Thailand) Ltd., True Internet Data Center Co., Ltd (Thailand), CS LoxInfo Data Center, Tcc Technology Co Ltd (Thailand), NTT (Thailand) Ltd., G-Able Public Company Limited, AIS-CSL, Bridge Data Centers (Thailand) Ltd., JasTel Network Co., Ltd., and ST Telemedia Thailand Pte. Ltd.

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A data center is a facility or a location that contain physical or virtual servers and centralizes an organization's IT operations and hardware for the purposes of storing, processing, and distributing data and applications.

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Central Thailand is the dominating region in the Thailand data center market due to the presence of maximum number of factories as the region is the center of manufacturing with the focus on the national transport and logistics networks. In addition, Bangkok is the most popular hub in both domestic and commercial infrastructure construction in the central region.

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Data centers have the capability to provide visibility over the improved access and internet availability, optimum security, secure offsite location, and redundant backup of all business data.

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Sakshi Bajaal

Business Consultant
Press Release

Thailand Data Center Market is Expected to Register a Steady CAGR by 2024-2028

Aug, 2023

The Thailand data center market is expected to grow during the forecast period due to the rapid adoption of cloud and digital transformation by companies.