Global data centre market to hit US$4 tril by 2030; Apac sees bulk of 2024 investments: Knight Frank
Apac is expected to include 4,174 MW of capacity by 2027, supported by US$ 58.7 billion in planned financial investments over the same period. Key factors consist of Tokyo, that is forecasted to see US$ 4.1 billion in investments over the following two years that will underpin 25% (295 MW) of capacity development.
Fitzalan-Howard views the first investments as setting the structure for even more AI facilities rollouts in the region. “Nonetheless, attending to different regulative frameworks and adjusting to United States export manages on AI chips continue to be essential factors in maximising Apac’s chances in this rapidly progressing sector,” he continues.
The rise in global information centre market activity is expected to proceed in the coming years. Knight Frank approximates that the marketplace is going to scratch an annual CAGR of 18% over the following 5 years, pushing it to hit US$ 4 trillion by 2030.
Johor is also on course for further rapid development. Knight Frank approximates the southerly Malaysian state will see 85% (335 MW) capacity growth by 2027, supported by US$ 4.7 billion in financial investment.
Fred Fitzalan-Howard, Knight Frank’s Apac head of data centres, says that the Apac information centre market will certainly include regarding 8 gigawatts of new capacity over the following 3 years, with a quarter of this dedicated to AI workloads. While lower than the global average due to the region’s Rate 2 or Rate 3 status under United States AI diffusion rules, the pipeline stands for US$ 24 billion in capital expenditure and 20 to 30 million sq ft of realty, he includes.
The resilient outlook reflects mounting demand for AI-optimised infrastructure, cloud solutions and enterprise electronic initiatives. Knight Frank projects that global data hub capacity will certainly spike 46%, or 20,828 megawatts (MW), over the next 2 years. By 2030, it forecasts capability could increase by 177%.
Throughout the causeway, Singapore stays a key data centre market regardless of governing and land constraints. Nevertheless, the report accentuate that with uninhabited rates below 1%, transactions in the city-state have actually changed towards smaller sized deals, in tandem with an upsurge in rates.
The international data centre market is set to see fast growth in the next 5 years, keeping a solid recoil in 2024. According to Knight Frank’s newest Global Data Centres Report, worldwide information centre realty transaction quantity recuperated from an interest rate-hike pushed downturn in 2023 to hit US$ 31.8 billion ($42.9 billion) last year, up 118% y-o-y.
Global purchase prices equated US$ 75.4 million in 2024, up 15% y-o-y and 44% more than pre-Covid levels in 2019. Knight Frank’s research study also spotted that Asia Pacific (Apac) controlled information centre financial investments, with some US$ 15.5 billion, or 70%, of cross-border information centre deals happening in the area.
