(Bangkok, 21st) – Thailand's data center capacity is expected to triple within the next three years, attracting about US$6.5 billion (approximately S$8.4 billion) in investments to meet the growing demand for cloud computing and artificial intelligence.
Subbara, Vice President of the Thai Data Center Association, pointed out that by 2027, Thailand’s data center capacity is expected to rise from 350 MW in 2024 to about 1 GW, with construction costs of about US$10 million per MW.
In an interview, he stated that Thailand, with its stable electricity supply and water resources, has already attracted international technology giants such as Google, Amazon, Microsoft, and Nvidia, all investing tens of billions of dollars in Thailand and Southeast Asia to build AI infrastructure.
Adapting to Industry Transformation – Government Pushing High-Tech
Thailand, long a manufacturing hub for automobiles and electronics, is now accelerating its high-tech industry development. The expansion of data centers coincides with Thailand’s industrial transformation, as the government hopes to catch up with regional leaders Singapore and Malaysia.
Subbara said: “In the future, more tech giants will seek to diversify by relocating data center facilities to Thailand.”
According to The Bangkok Post, the easing of Thai investment regulations this year, improvements in energy supply, and the soaring demand from AI and hyperscale enterprises are bringing unprecedented opportunities for the data center sector.
Fierce Regional Competition – Thailand as a New Focal Point
The '2025 Thailand Data Center' report also shows that with Singapore limited by land resources, Malaysia entangled in permit approval issues, and Indonesia’s growth slowing, Thailand is gradually becoming the regional focus.
Data from the Thailand Board of Investment shows that in the first half of this year, 36 technology projects were approved, totaling 322 billion baht (about S$12.7 billion) in investment, most of which were related to data center projects.