Japan: Existing & Upcoming Data Center Portfolio

Key Market Highlights: 

• Japan is witnessing the entry of a new edge data center operator, Edge Centres, that has announced its plan to build two off-grid edge data center facilities across Kanto and Kyushu. 

• Tokyo and Osaka are the primary data center hubs, with around 80% of the existing third-party data centers. Other cities such as Kobe, Satiama, Matsue, Shiroi, Yokohama, and others account for the remaining 20%. 
• International data center providers usually acquire local data center companies or establish joint ventures to establish data centers in the country. For instance, the joint venture between Mitsubishi Corporation & Digital Realty, Equinix & GIC.  
• The rising adoption of cloud-based services is helping the growth of retail and wholesale colocation services in the market. The market is witnessing increased demand for colocation spaces across existing and upcoming data centers.