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THE MALAYSIA DATA CENTER MARKET SIZE WAS VALUED AT USD 1.81 BILLION IN 2023 AND IS EXPECTED TO REACH USD 3.97 BILLION BY 2029, GROWING AT A CAGR OF 13.92% DURING THE FORECAST PERIOD
The Malaysia Data Center Market Report Includes Size in Terms of
- IT Infrastructure: Servers, Storage Systems, and Network Infrastructure
- Electrical Infrastructure: UPS Systems, Generators, Switches & Switchgears, PDUs, and Other Electrical Infrastructure
- Mechanical Infrastructure: Cooling Systems, Rack Cabinets, and Other Mechanical Infrastructure
- Cooling Systems: CRAC and CRAH, Chillers, Cooling Tower and Dry Coolers, and Other Cooling Units
- General Construction: Core & Shell Development, Installation & Commissioning Services, Building & Engineering Design, Fire Detection & Suppression Systems, Physical Security, and DCIM
- Tier Standard: Tier I & Tier II, Tier III, and Tier IV
- Geography: Selangor, Johor, and Other States
Get Insights on 34 Existing Data Centers and 33 Upcoming Facilities across Malaysia
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analyses to market estimates & forecasts that you can customize
MALAYSIA DATA CENTER MARKET REPORT SCOPE
REPORT ATTRIBUTE | DETAILS |
---|---|
MARKET SIZE (INVESTMENT) | USD 3.97 Billion (2029) |
MARKET SIZE (AREA) | 883 Thousand Sq. Feet (2029) |
MARKET SIZE (POWER CAPACITY) | 163 MW (2029) |
CAGR INVESTMENT (2023-2029) | 13.92% |
COLOCATION MARKET SIZE (REVENUE) | USD 1.23 Billion (2029) |
HISTORIC YEAR | 2020-2022 |
BASE YEAR | 2023 |
FORECAST YEAR | 2024-2029 |
INDUSTRY OUTLOOK
The Malaysia data center market size will witness investments of USD 3.97 billion by 2029, growing at a CAGR of 13.92% during the forecast period. Singapore’s space and land constraints fuel Malaysia's rise as a data center powerhouse in Southeast Asia. Also, Malaysia is quickly becoming Southeast Asia's go-to destination for data center development. Moreover, the Malaysian government actively supports the technology sector by forming various entities, such as Cyberview Sdn Bhd and Malaysia Digital Economy Corporation (MDEC), which support and encourage data center investments.
The Malaysia data center market growth is driven by the region's abundance of affordable land and excellent fiber connectivity, making it an ideal location for large-scale data center facilities. Cyberjaya and Johor are key areas that attract data centers and cloud companies. For instance, Johor is experiencing a boom. Its close proximity to Singapore, a major data center hub struggling with capacity limitations, makes it a natural choice for data center investors looking to address the growing demand for data storage in the region.
Over 2 GW of data center power capacity is either planned or under construction by several colocation operators in the Malaysia data center market. Also, Malaysia is a compelling alternative to its space-constrained neighbor, Singapore. Furthermore, introducing renewable energy initiatives such as the Corporate Green Power Programme (CGPP) will allow data center investors and operators to invest heavily in the country to power its data center facilities with green energy.
KEY HIGHLIGHTS
- The Malaysia data center market has about 34 operational colocation data centers. Most colocation data centers are being developed according to Tier III standards. For instance, NTT DATA’s Cyberjaya is designed and constructed per Tier III standards and certified by the Uptime Institute.
- Malaysia is among the top expensive markets globally for developing data centers. Malaysia's data center construction cost in 2023 stood at about $8.5-$10 million per MW, making it the costliest market in the APAC region after Singapore and Jakarta.
- Some leading colocation operators in the Malaysia data center industry include Bridge Data Centres, NTT DATA, Keppel Data Centres, Vantage Data Centers, VADS, and GDS Services. Some of the new entrants in the market include AirTrunk, Equinix, EdgeConneX, Princeton Digital Group, NEXTDC, ST Telemedia Global Data Centres, and others.
- Several factors are driving industrial development in Kuala Lumpur. For instance, the administration has established the Kuala Lumpur Smart City Master Plan 2020-2025 to support innovations and the sustainable development of the city’s industrial infrastructure, with targets such as smart digital infrastructure and smart economy.
- The governments of Malaysia and Singapore signed an MoU in January 2024 for jointly developing a Special Economic Zone (SEZ) in the Malaysian state of Johor. This will help facilitate better cross-border movement of people and goods, increase the adoption efforts for renewable energy, and make business regulations more effective.
- The upcoming Sedenak Tech Park in Johor offers various advantages, such as using renewable energy for its power needs, the low risk of natural disasters, large land availability, highly skilled talent, and government support. This will further bolster data center developments in the Malaysia data center market.
WHY SHOULD YOU BUY THIS RESEARCH?
- Market size is available regarding investment, area, power capacity, and Malaysia colocation market revenue.
- An assessment of the data center investment in Malaysia by colocation, hyperscale, and enterprise operators.
- Investments in the area (square feet) and power capacity (MW) across cities in the country.
- A detailed study of the existing Malaysia data center market landscape, an in-depth market analysis, and insightful predictions about market size during the forecast period.
- Snapshot of existing and upcoming third-party data center facilities in Malaysia
- Facilities Covered (Existing): 34
- Facilities Identified (Upcoming): 33
- Coverage: 9 Locations
- Existing vs. Upcoming (Area)
- Existing vs. Upcoming (IT Load Capacity)
- Data Center Colocation Market in Malaysia
- Colocation Market Revenue & Forecast (2023-2029)
- Wholesale vs. Retail Colocation Revenue (2023-2029)
- Retail Colocation Pricing
- Wholesale Colocation Pricing
- The Malaysia data center market investments are classified into IT, power, cooling, and general construction services with sizing and forecast.
- A comprehensive analysis of the latest trends, growth rate, potential opportunities, growth restraints, and prospects for the industry.
- Business overview and product offerings of prominent IT infrastructure providers, construction contractors, support infrastructure providers, and investors operating in the industry.
- A transparent research methodology and the analysis of the demand and supply aspects of the industry.
VENDOR LANDSCAPE
- Some of the key colocation investors in the Malaysia data center market in 2023 are Bride Data Centers, Keppel Data Centres, NTT DATA, Vantage Data Centers, and Open DC.
- Malaysia’s cloud market is set to expand, with the three hyperscale tech giants (Amazon Web Services, Google, and Microsoft) planning to launch their cloud regions in Kuala Lumpur. Each cloud region will account for three availability zones.
- Malaysia is witnessing investments from colocation and hyperscale operators developing their data center facilities. For instance, Microsoft is involved in developing its first self-built data center region in Greater Kuala Lumpur, which is likely to be online in the next 1-2 years.
- Telecom operators such as Celcom Axiata, DiGi Telecommunications, Maxis, and U Mobile are the major telecom operators that have either deployed 5G technology in some cities on a trial basis or are launching commercial 5G services nationwide.
- AirTrunk, EdgeConneX, NEXTDC, Equinix, Princeton Digital Group, Singtel, STT Telemedia Global Data Centres, and others are prominent new market entrants in Malaysia data center.
EXISTING VS. UPCOMING DATA CENTERS
- Existing Facilities in the Region (Area and Power Capacity)
- Selangor (Kuala Lumpur & Cyberjaya)
- Johor (Johor Bahru)
- Other States
- List of Upcoming Facilities in the Region (Area and Power Capacity)
- Selangor (Kuala Lumpur & Cyberjaya)
- Johor (Johor Bahru)
- Other States
REPORT COVERAGE:
This report analyses the Malaysia data center market share. It elaboratively analyses the existing and upcoming facilities and investments in IT, electrical, mechanical infrastructure, general construction, and tier standards. It discusses market sizing and investment estimation for different segments. The segmentation includes:
- IT Infrastructure
- Servers
- Storage Systems
- Network Infrastructure
- Electrical Infrastructure
- UPS Systems
- Generators
- Switches & Switchgears
- PDUs
- Other Electrical Infrastructure
- Mechanical Infrastructure
- Cooling Systems
- Rack Cabinets
- Other Mechanical Infrastructure
- Cooling Systems
- CRAC and CRAH
- Chillers
- Cooling Tower and Dry Coolers
- Other Cooling Units
- General Construction
- Core & Shell Development
- Installation & Commissioning Services
- Building & Engineering Design
- Fire Detection & Suppression Systems
- Physical Security
- Data Center Infrastructure Management (DCIM)
- Tier Standard
- Tier I & Tier II
- Tier III
- Tier IV
- Geography
- Selangor
- Johor
- Other States
VENDOR LANDSCAPE
- IT Infrastructure Providers: Cisco Systems, Dell Technologies, Fujitsu, Hewlett Packard Enterprise, Huawei Technologies, IBM, Inspur, Lenovo, and NetApp.
- Data Center Construction Contractors & Sub-Contractors: Advance Power Engineering, Asima Architects, AVO Technology, B-Global Tech, CTC-Global, CSF Group, Cyclect Group, DSCO Group, Gamuda, GCM Technologies, HSS Engineers, ISG, Kienta Engineering Construction, LSK Engineering, MES Group, M+W Group (Exyte), MN Holdings, Nakano, NTT FACILITIES, Powerware Systems, S5 Engineering, Shaw Architect, Sunway Construction Group, and Unique Central.
- Support Infrastructure Providers: ABB, Caterpillar, Cummins, Eaton, Fuji Electric, HITEC Power Protection, KOHLER Power, Legrand, Mitsubishi Electric, Narada Power Source, Piller Power Systems, Rittal, Rolls-Royce, Schneider Electric, Siemens, Socomec, STULZ, Trane and Vertiv.
- Data Center Investors: Bridge Data Centres, Edge Centres, GDS Services, IRIX (PP TELECOMMUNICATION), Keppel Data Centres, NTT DATA, Open DC, TM One, Vantage Data Centers and YTL Data Center Holdings.
- New Entrants: AirTrunk, Amazon Web Services (AWS), EdgeConneX, Equinix, FutureData (Cyclect Group + TSG Group), Google, i-Berhad, Infinaxis Data Centre Holdings, MN Holdings + Shanghai DC-Science, Microsoft, NEXTDC, Princeton Digital Group, Regal Orion, Singtel, ST Telemedia Global Data Centres and Yondr.
Frequently Asked Questions
What factors are driving the Malaysian data center industry?
How big is the Malaysia data center market?
How many MW of power capacity will be added across Malaysia during 2024 to 2029?
What is the growth rate of the Malaysia data center market?
Which states are included in the Malaysia data center market report?
The Malaysia data center market size is projected to reach USD 3.97 billion by 2029, growing at a CAGR of 13.92% from 2023 to 2029.
The following factors are likely to contribute to the growth of the Malaysia data center market during the forecast period:
- Developments in Inland Connectivity via Submarine Cables
- The Increasing Adoption of Cloud Services
- A Rise in Data Center Investments & Activities
- Big Data and IoT Are Driving Data Center Investments
Base Year: 2023
Forecast Year: 2024-2029
The report considers the present scenario of the Malaysian data center market and its market dynamics for 2024-2029. It provides a detailed overview of several market growth enablers, restraints, and trends. The study also includes the market's demand and supply aspects.
The report includes the investment in the following areas:
- IT Infrastructure
- Servers
- Storage Systems
- Network Infrastructure
- Electrical Infrastructure
- UPS Systems
- Generators
- Switches & Switchgears
- PDUs
- Other Electrical Infrastructure
- Mechanical Infrastructure
- Cooling Systems
- Rack Cabinets
- Other Mechanical Infrastructure
- Cooling Systems
- CRAC and CRAH
- Chillers
- Cooling Tower and Dry Coolers
- Other Cooling Units
- General Construction
- Core & Shell Development
- Installation & Commissioning Services
- Building & Engineering Design
- Fire Detection & Suppression Systems
- Physical Security
- Data Center Infrastructure Management (DCIM)
- Tier Standard
- Tier I & Tier II
- Tier III
- Tier IV
- Geography
- Selangor
- Johor
- Other States
VENDOR LANDSCAPE
IT Infrastructure Providers
- Cisco Systems
- Dell Technologies
- Fujitsu
- Hewlett Packard Enterprise
- Huawei Technologies
- IBM
- Inspur
- Lenovo
- NetApp
Data Center Construction Contractors & Sub-Contractors
- Advance Power Engineering
- Asima Architects
- AVO Technology
- B-Global Tech
- CTC-Global
- CSF Group
- Cyclect Group
- DSCO Group
- Gamuda
- GCM Technologies
- HSS Engineers
- ISG
- Kienta Engineering Construction
- LSK Engineering
- MES Group
- M+W Group (Exyte)
- MN Holdings
- Nakano
- NTT FACILITIES
- Powerware Systems
- S5 Engineering
- Shaw Architect
- Sunway Construction Group
- Unique Central
Support Infrastructure Providers
- ABB
- Caterpillar
- Cummins
- Eaton
- Fuji Electric
- HITEC Power Protection
- KOHLER Power
- Legrand
- Mitsubishi Electric
- Narada Power Source
- Piller Power Systems
- Rittal
- Rolls-Royce
- Schneider Electric
- Siemens
- Socomec
- STULZ
- Trane
- Vertiv
Data Center Investors
- Bridge Data Centres
- Edge Centres
- GDS Services
- IRIX (PP TELECOMMUNICATION)
- Keppel Data Centres
- NTT DATA
- Open DC
- TM One
- Vantage Data Centers
- YTL Data Center Holdings
New Entrants
- AirTrunk
- Amazon Web Services (AWS)
- EdgeConneX
- Equinix
- FutureData (Cyclect Group + TSG Group)
- i-Berhad
- Infinaxis Data Centre Holdings
- MN Holdings + Shanghai DC-Science
- Microsoft
- NEXTDC
- Princeton Digital Group
- Regal Orion
- Singtel
- ST Telemedia Global Data Centres
- Yondr
Exhibit 1 Third-Party Data Centers Snapshot
Exhibit 2 Third-Party Data Center Snapshot by Cities
Exhibit 3 Area Developed by Cities (Thousand Square Feet)
Exhibit 4 Power Capacity by Cities (MW)
Exhibit 5 Data Center Market Size & Forecast by Investment 2020−2029 ($ Million)
Exhibit 6 Data Center Market Size & Forecast by Area 2020−2029 (Thousand Square Feet)
Exhibit 7 Data Center Market Size & Forecast by Power Capacity 2020−2029 (MW)
Exhibit 8 Data Center Colocation Service Revenue: Market Size & Forecast by 2020−2029 ($ Million)
Exhibit 9 Data Center Retail Vs Wholesale Colocation Service Revenue: Market Size & Forecast by 2020−2029 ($ Million)
Exhibit 10 Retail & Wholesale Colocation Pricing 2023
Exhibit 11 Market Size & Forecast by IT Infrastructure 2020−2029 ($ Million)
Exhibit 12 Market Size & Forecast by Electrical Infrastructure 2020−2029 ($ Million)
Exhibit 13 Market Size & Forecast by Mechanical Infrastructure 2020−2029 ($ Million)
Exhibit 14 Market Size & Forecast by Cooling Systems 2020−2029 ($ Million)
Exhibit 15 Market Size & Forecast by General Construction 2020−2029 ($ Million)
Exhibit 16 Breakup of Construction Cost 2023
Exhibit 17 Market Size & Forecast by Tier Standards 2020−2029 ($ Million)
Exhibit 18 Data Center Market Size & Forecast in Selangor by Investment 2020−2029 ($ Million)
Exhibit 19 Data Center Market Size & Forecast in Selangor by Area 2020−2029 (Thousand Square Feet)
Exhibit 20 Data Center Market Size & Forecast in Selangor by Power Capacity 2020−2029 (MW)
Exhibit 21 Data Center Market Size & Forecast in Johor by Investment 2020−2029 ($ Million)
Exhibit 22 Data Center Market Size & Forecast in Johor by Area 2020−2029 (Thousand Square Feet)
Exhibit 23 Data Center Market Size & Forecast in Johor by Power Capacity 2020−2029 (MW)
Exhibit 24 Data Center Market Size & Forecast in Other States by Investment 2020−2029 ($ Million)
Exhibit 25 Data Center Market Size & Forecast in Other States by Area 2020−2029 (Thousand Square Feet)
Exhibit 26 Data Center Market Size & Forecast in Other Statesby Power Capacity 2020−2029 (MW)
LIST OF TABLES
Table 1 List of Upcoming Data Center Projects
Table 2 Data Center Site Selection Criteria
Table 3 Overall Market Size & Forecast 2020−2029
Table 4 Market Size & Forecast by Colocation Service Revenue 2020−2029 ($ Million)
Table 5 Market Size & Forecast by Infrastructure 2020−2029 ($ Million)
Table 6 Market Size & Forecast by IT Infrastructure 2020−2029 ($ Million)
Table 7 Market Size & Forecast by Electrical Infrastructure 2020−2029 ($ Million)
Table 8 Market Size & Forecast by Mechanical Infrastructure 2020−2029 ($ Million)
Table 9 Market Size & Forecast by Cooling Systems 2020−2029 ($ Million)
Table 10 Market Size & Forecast by General Construction 2020−2029 ($ Million)
Table 11 Market Size & Forecast by Tier Standards 2020−2029 ($ Million)
Table 12 Selangor Market Size & Forecast 2020−2029
Table 13 Johor Market Size & Forecast 2020−2029
Table 14 Other States Market Size & Forecast 2020−2029
1. Existing & Upcoming Third-Party Data Centers in Malaysia
1.1. Historical Market Scenario
1.2. 34 Unique Data Center Properties
1.3. Data Center IT Load Capacity
1.4. Data Center White Floor Area Space
1.5. Existing vs. Upcoming Data Center Capacity by Cities
1.6. Locations Covered
1.6.1. Selangor (Kuala Lumpur / Cyberjaya)
1.6.2. Johor (Johor Bahru)
1.6.3. Other States
1.7. List of Upcoming Data Center Projects
2. Investment Opportunities in Malaysia
2.1. Microeconomic and Macroeconomic Factors in Malaysia Market
2.2. Investment Opportunities in Malaysia
2.3. Investment by Area
2.4. Investment by Power Capacity
3. Data Center Colocation Market in Malaysia
3.1. Demand across Several Industries in Malaysia
3.2. Colocation Services Market in Malaysia
3.3. Retail vs Wholesale Data Center Colocation
3.4. Colocation Pricing (Quarter Rack, Half Rack, Full Rack) & Add-ons
4. Market Dynamics
4.1. Market Drivers
4.2. Market Trends
4.3. Market Restraints
5. Market Segmentation
5.1. IT Infrastructure: Market Size & Forecast
5.2. Electrical Infrastructure: Market Size & Forecast
5.3. Mechanical Infrastructure: Market Size & Forecast
5.4. General Construction Services: Market Size & Forecast
6. Tier Standard Investment
6.1. Tier I & II
6.2. Tier III
6.3. Tier IV
7. Geography Segmentation
7.1. Selangor
7.2. Johor
7.3. Other States
8. Key Market Participants
8.1. IT Infrastructure Providers
8.2. Construction Contractors
8.3. Support Infrastructure Providers
8.4. Data Center Investors
8.5. New Entrants
9. Appendix
9.1. Market Derivation
9.2. Quantitative Summary
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Frequently Asked Questions
What factors are driving the Malaysian data center industry?
How big is the Malaysia data center market?
How many MW of power capacity will be added across Malaysia during 2024 to 2029?
What is the growth rate of the Malaysia data center market?
Which states are included in the Malaysia data center market report?