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Johor may replace Singapore as the data center capital of Asia by 2028
Release time:2024-10-18 Source: Qingqiao Number of views:

In recent years, with the acceleration of digital transformation and the arrival of the big data era, the importance of data centers has become increasingly prominent. Johor, Malaysia, with its unique geographical location and resource advantages, is becoming a hot spot for the development of data centers. According to analysts' predictions, Johor's data center scale is expected to grow tenfold in the next four years, potentially replacing Singapore as the largest data center capital in Asia.

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According to a research report by Industrial Investment Bank citing data intelligence company DC Byte, the data center market in Malaysia is expected to experience explosive growth. In the next two years, the operational capacity of Malaysia's data center market is expected to increase by over 1 gigawatt (GW), far exceeding the current capacity of less than 400 megawatts (MW). Meanwhile, approximately 3 gigawatts of capacity are being planned and are expected to gradually increase over the next three to five years. This trend suggests that by 2028, the scale of data center libraries in Johor will exceed the total growth of the past 20 years, achieving more than tenfold growth.

The reason why Johor has been able to achieve such significant development in the data center field is mainly due to its advantages of relatively low land and electricity prices. Compared to Singapore, Johor has more abundant land resources and relatively fewer restrictions on new construction projects. This gives Johor a unique advantage in attracting data center construction.

In addition, the rapid development of artificial intelligence (AI) has further driven the growth in demand for data centers. With the continuous popularization and application of AI technology, the importance of data centers as the infrastructure supporting AI operation has become increasingly prominent. Johor, with its rapid development in the field of data centers, will be able to better meet the future demand for AI technology in data centers, thereby further promoting the development of the local economy.

The establishment of the Johor Singapore Special Economic Zone also provides a secure foundation for the development of data centers. The establishment of this special economic zone not only promotes economic cooperation and exchanges between Johor and Singapore, but also provides a more stable and reliable environment for the development of data centers.

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However, Johor's development in the field of data centers also faces some challenges. For example, ensuring the energy supply and network security of data centers need to be properly addressed. To this end, the Johor state government is strengthening cooperation with relevant enterprises and institutions to jointly promote innovation and development in the field of data centers.


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