Singapore leads Southeast Asia as the top data center hub, accounting for more than 60% of the region’s market, according to a new report from DatacenterDynamics.
The report, which covers a census of 5,000 data center owners and operators, also found that Malaysia comes second with 15% of the region’s market.
At a rate of 10% yearly, Singapore’s growth is attributed to government initiatives aimed at attracting large corporates and its robust communications infrastructure.
Results also revealed global trends such as the continued growth in emerging markets as well as the continually strong investments despite a slowdown in space growth in emerged markets.
Further, DatacenterDynamics observed that power growth is outstripping space growth in developed markets.
Additionally, new technologies are making an impact on increasing efficiency as they help maximize space greater in new markets with new facilities. However, this is more difficult in older markets with legacy stock.
In Singapore, more than half (52%) of data centers operate at less than 5kw per rack.
In the first half of 2013, data center investments in Singapore that were related to facility equipment and solution increased by 3.6% year-on-year to reach $1.04 billion.
Investments on IT optimization and on outsourcing grew faster at 6.9% and 7.8% respectively, to reach $420 million and $477 million.