- The Knight Frank reports found that there was a growth of 488 MW in total in the first quarter of 2022 alone in the Asia Pacific region.
- According to report results, Tokyo performed the greatest growth in supply in Q1 2022 from AirTrunk, Colt, and Stack Infrastructure.
- Market activity in Singapore has been slowed since the imposition of the moratorium on data center developments in 2019.
The Knight Frank Data Centre Advisory Group published a report on the Asia Pacific (APAC) region’s data center industry for the first quarter of 2022. The results show that Tokyo, Sydney, and Seul notably increased their data center capacity. Singapore and Hong Kong markets slowed down.
Data center growth in APAC region
The Knight Frank report indicates that there was a growth of 488 MW in total in the first quarter of 2022 alone. The report highlighted that data center growth was led by Tokyo, Sydney, and Seoul, with Sydney performing an important achievement in becoming a gigawatt market. The market study found that the Asia Pacific has more than 8,700MW capacity with new additions currently.
According to report results, Tokyo performed the greatest growth in supply in Q1 2022 from AirTrunk, Colt, and Stack Infrastructure. An approximate 63MW of capacity will also be added by Gaw Capital, ESR Cayman, and a local asset management company that acquired assets which acquired multiple assets. Sydney recently had large investments by Microsoft’s self-build and Macquarie’s IC3 Super West as well as other data centers close to completion.
This resulted in capacity passing slightly over 1 gigawatt of total including the newly added 144MW. The market experienced a busy quarter, AirTrunk also deployed 30MW of capacity at SYD2 to record 85MW of take-up during Q1, which is comparable to total take-up across the entire year of 2021 in the market.
Seoul recorded notable growth in the quarter
Alibaba launched its first Availability Zone in the market in February. There were many announcements of centers jointly being developed by international operators and asset management companies, uplifting mass supply by 136MW. The market saw the biggest growth in supply over the last 3 years. The growth is also higher compared to previous quarters due to Digital Realty’s 12MW facility, ICN10, that went live in January.
On the other hand, market activity in Singapore has been slowed since the imposition of the moratorium on data center developments in 2019. However, the situation may change soon as the pilot call for applications launches next quarter. Similarly, Hong Kong has been experiencing lower levels of interest and activity. According to the report, the main centers of the APAC region will continue to the growth. The general trend is positive, with demand drivers strengthening.