Investing HK$2.8 Billion to Build a Largest Data Center in Hong Kong

One of the leading owners and operators of wholesale carrier neutral data center space in Europe and Asia-Pacific, Global Switch, has acquired a site on the Tseung Kwan O (TKO) Industrial Estate in Hong Kong to build a Tier III plus data center.

It intends to invest around HK$2.8 billion over the full course of the development, with further investment arising from specific customer requirements. This investment to build Hong Kong's largest data center is in response to strong customer demand, and is consistent with the strategy of expanding in key regional IT and connectivity hubs.

Once built the data center will offer 35,000 sq m (375,000 sq ft) gross space with 45MVA of utility power and have best-in-class environmental credentials targeting a LEED (Leadership in Energy and Environmental Design) Platinum Rating. Construction is planned to start in 2013, with the first phase of space becoming operational in Q1 2015.

The hosting services market in Asia Pacific is expected to grow by 10% to 15% CAGR over the next three to five years, on the back of strong economic growth, business expansion in the region, demand for disaster recovery facilities and corporations moving toward adopting cloud services. Hong Kong, as one of the key data center hubs in Asia, is expected to see strong demand in particular from the banking, financial services and insurance and trading and logistics sectors.