Kuala Lumpur and Jakarta Data Center Markets Poised for Major Growth, Driven by AI and Hyperscale Expansion
Structure Research's 2025 reports project Kuala Lumpur's data center market to grow at 31% CAGR to $1.1 billion by 2030 and Jakarta's at 11% CAGR to $856 million, highlighting Southeast Asia's emergence as a critical infrastructure hub for AI and cloud services.
Structure Research has released comprehensive 2025 reports analyzing the Kuala Lumpur and Jakarta data center markets, revealing significant growth projections driven by hyperscale cloud expansion and artificial intelligence infrastructure development. The Kuala Lumpur data center colocation market is projected to reach $300 million in 2025 and grow to $1.1 billion by 2030, representing a remarkable 31% compound annual growth rate. This growth is fueled by the city's strategic positioning near Singapore and Johor, making it an attractive location for AI inference and cloud infrastructure workloads.
Major hyperscale cloud providers including Alibaba Cloud, AWS, Microsoft, and Google are expanding their presence in Kuala Lumpur through a combination of colocation, built-to-suit, and self-build strategies. The report tracks self-build and leasing activity, market inventory, demand segmentation, and regional interconnection dynamics, providing investors and operators with critical insights for expansion planning. The detailed analysis available at www.structureresearch.net/product/kuala-lumpur-dci-report-2025-data-centre-colocation-hyperscale-cloud-ai-interconnection offers comprehensive market intelligence.
Meanwhile, the Jakarta data center market shows steady growth with a projected value of $507.2 million in 2025, expected to reach $856 million by 2030 at an 11% CAGR. The market is experiencing significant transformation with over 65MW of hyperscale colocation inventory expected to come online in 2025, and overall capacity projected to double by 2030. Chinese cloud platforms are recovering from previous downturns and re-engaging with new investments, while U.S.-based hyperscalers and AI-focused platforms are increasing their market presence.
Jakarta is witnessing renewed interest in interconnection, particularly from global operators and enterprises seeking to diversify deployments across the region. The full Jakarta market analysis can be accessed at www.structureresearch.net/product/jakarta-indonesia-dci-report-2025-datacentre-colocation-hyperscale-cloud-interconnection. According to Philbert Shih, Managing Director of Structure Research, Southeast Asia is entering a transformative phase of infrastructure buildout, with both markets becoming central to the next wave of growth as hyperscale and AI infrastructure platforms reshape deployment models.
The reports come as Structure Research prepares to release its Bangkok 2025 analysis in the fourth quarter. According to their 2024 data, the Bangkok market was valued at approximately $165 million with over 56MW of built-out capacity, expected to grow rapidly to $540 million by 2029 driven by hyperscale cloud expansion and early AI-driven demand. These developments position Southeast Asia as a critical region for global digital infrastructure investment, with implications for regional economic development, technological advancement, and strategic positioning in the global digital economy.