14 November 2024
Equinix will invest around US$500 million in phases over the next ten years to cash in on Thailand’s busy data centre scene, starting with two new IBX data centres in Bangkok.
The US$500 million figure includes Equinix’s recent purchase of land in the Bangna area of Bangkok for US$34 million. The site, which covers over 18,700 square meters, is located next to the main transport route connecting the airport and the city centre, giving it access to the existing Bangkok interconnection ecosystem. Equinix plans to build two International Business Exchange (IBX) data centres on the Bangna campus that it says will provide more than 3,375 cabinets at full build out.
The investment is the latest step in Equinix’s Asia-Pacific expansion strategy, following its recent entry into the Philippines in July via a deal to buy three data centres from Total Information Management (TIM). Equinix also kicked off expansion projects in Hong Kong, Malaysia and India earlier this year.
Narit Therdsteerasukdi, secretary general of Thailand Board of Investment, said that Thailand’s proximity to Cambodia, Laos, Myanmar and Vietnam, along with its Cloud First-Policy, has spurred an “unprecedented” surge in demand for greater digital interconnectivity that will fuel long-term growth of digital infrastructure for the region.
“The next decade will see accelerated shifts in supply chains and migration to the cloud, with manufacturing and digital economic production diversifying across Thailand and the rapidly growing CLMV sub-region,” said Therdsteerasukdi. “Thailand has emerged as a prime investment destination in this supply chain transformation, attracting substantial investments in prominent industrial clusters, particularly in cloud services, electronics and electric vehicle sectors.”
“Thailand stands at the forefront of digital growth in Southeast Asia, with immense untapped potential as it becomes a key player in the region’s digital economy,” added Cyrus Adaggra, VP of corporate development for Asia-Pacific at Equinix. “Equinix’s entry in Bangkok is yet another milestone advancing our overarching strategy to enhance interconnection across Thailand and Southeast Asia.”
