Asia Pacific Data Centre Report Year-end 2025

Increasing hyperscale commitments across the Asia Pacific region are fueling a multiyear growth cycle. Vacancy rates are declining as upcoming supply lags behind demand.

Asia Pacific is expected to deliver 4.8 GW of new supply by 2027, with 78% already preleased. Hence, the vacancy levels are expected to remain in the 6.5-7.0% range over the next few years.

Various countries have established digital initiatives with data centre incentives. This will lead to a dispersion in supply over the medium-term outlook.

Availability of power has been guiding the development of data centres apart from pricing. AI training workloads are moving to regions with high availability of power at competitive rates.

The increased power demand has led to higher wait times for grid connections ranging from 24 months in emerging markets to more than 8 years in core markets.

Power availability will influence industry growth as operators address constraints through behind-the-meter power options. Solar energy is expected to be predominant renewable power option in APAC.

Data centre expansion in Asia Pacific is expected to add 24 GW of capacity between 2025 and 2030 which includes colocation, hyperscale self-build and on-prem. This development would result in US$ 286 billion of real estate value creation which would be financed through debt and equity. 

In addition, up to US$486 billion could be required to fit out the data centres with GPUs and networking infrastructure. Thus, US$772 billion in capital requirements indicates a high growth scenario.