Tuesday, 02 January 2024 12:17 GMT

APAC Hyperscale Data Center Market - Industry Outlook And Forecast 2026-2031 AI And Cloud Demand Drive Market To $240.33 Billion As Liquid Cooling And Green Infrastructure Scale


Date:

(MENAFN- GlobeNewsWire - Nasdaq) Boost ROI with AI-ready facilities, renewable energy, liquid cooling and Li-ion UPS systems that reduce operating costs and support high-density workloads across APAC.

Dublin, Oct. 12, 2026 (GLOBE NEWSWIRE) -- "APAC Hyperscale Data Center Market - Industry Outlook & Forecast 2026-2031" has been added to ResearchAndMarkets.com's offering.

The APAC hyperscale data center market was valued at USD 96.62 billion in 2025 and is projected to reach USD 240.33 billion by 2031, expanding at a CAGR of 16.40%. Growth is being driven by rising demand for AI and cloud services, expanding digital infrastructure, government support, sustainability commitments, and increasing investment from global and regional data center operators.

Sustainability Shapes Data Center Investment

Energy efficiency and sustainable operations are becoming central to hyperscale data center development across APAC. Operators are adopting renewable energy, liquid cooling, free cooling, waste heat recovery, and other technologies designed to reduce greenhouse gas emissions, environmental impact, and operating costs.

  • Australia is targeting net-zero greenhouse gas emissions by 2050 and aims to source more than 82% of its electricity from renewable energy by 2030.
  • Japan plans to achieve carbon neutrality by 2050, while India has established a net-zero emissions target for 2070.
  • Indonesia aims to reach net-zero carbon emissions by 2060 and generate more than 48% of its electricity from renewable sources by 2030.
  • Taiwan is targeting net-zero emissions by 2050, supported by planned geothermal, solar, and wind power capacity.

The report indicates that adoption of sustainable data center technologies will accelerate over the next five years as operators respond to national climate targets, customer expectations, and higher energy requirements.

AI and Cloud Services Accelerate Capacity Demand

AI adoption is increasing across manufacturing, automotive, healthcare, finance, and technology, creating substantial demand for AI-ready hyperscale data center infrastructure. Governments throughout APAC are supporting AI development through funding, infrastructure programs, and policies that encourage public and private sector adoption.

In November 2025, Taiwan allocated approximately $3.2 million to strengthen AI infrastructure and advance photonics, quantum computing, and AI robotics. In August 2025, South Korea announced plans to develop smart power grids using AI services to improve electricity production, forecast demand, and manage renewable energy generation.

Higher AI computing requirements are also changing facility design. Average rack densities are expected to increase from approximately 15 kW-25 kW to more than 50 kW by 2029. Peak densities for intensive AI workloads could reach 250 kW-500 kW, accelerating the transition from traditional air cooling to liquid cooling techniques.

Infrastructure and Technology Trends

  • Demand for UPS systems is increasing alongside data center investment, with operators gradually adopting Li-ion batteries instead of traditional lead-acid systems.
  • Diesel generators with N+1 or 2N redundancy remain widely deployed, although demand for HVO-powered generators is expected to rise during the forecast period.
  • Air-based cooling includes DX-based CRAC units, free cooling technique solutions, air-cooled chillers, and dry coolers.
  • Liquid-based cooling is gaining momentum as operators prepare facilities for high-density AI and accelerated computing environments.
  • Tier III and Tier IV facilities continue to attract investment as cloud providers and enterprises prioritize resilience, availability, and scalable capacity.

Regional Market Opportunities

China benefits from extensive international connectivity through approximately 22 operational undersea cables, with around three additional submarine cables developed in 2025. Hong Kong remains an attractive data center destination due to its proximity to mainland China, international trade links, and strong foreign direct investment.

Japan is increasing renewable energy procurement for data centers. In October 2025, Microsoft signed a PPA with Shizen Energy covering approximately 100 MW of solar power. In India, Mumbai, Navi Mumbai, Hyderabad, Chennai, and Pune remain preferred data center locations, attracting investment from ST Telemedia Global Data Centres, NTT DATA, Equinix, Sify Technologies, and Airtel's Nxtra Data.

Other important APAC hyperscale data center markets covered by the report include South Korea, Taiwan, Australia, New Zealand, Singapore, Malaysia, Vietnam, the Philippines, Thailand, and Indonesia.

Competitive Landscape and Recent Investments

Key investors include AirTrunk, Alibaba Cloud, Apple, AWS, Bridge Data Centres, CDC Data Centres, China Mobile International, China Unicom, DayOne, Digital Realty, Equinix, Google, Keppel Data Centres, Meta, Microsoft, NEXTDC, NTT DATA, Princeton Digital Group, ST Telemedia Global Data Centres, STACK Infrastructure, and Vantage Data Centers.

  • In April 2026, AirTrunk announced the acquisition of Lumina CloudInfra, providing access to a planned portfolio of approximately 600 MW and around $5 billion in future development opportunities in India.
  • In September 2025, Alibaba Cloud announced plans to expand across Japan, South Korea, and Malaysia to support AI and cloud service demand.
  • In March 2025, CURRENC Group announced plans to acquire approximately 100 acres in Johor for a 500 MW data center campus. The initial 100 MW phase is scheduled to become operational by the end of 2026.
  • In 2026, Nxera, NeutraDC, and Medco Power continued developing the Batam Data Center in Indonesia, with planned IT power capacity exceeding 54 MW.

Report Coverage

The report evaluates investment across IT infrastructure, electrical infrastructure, mechanical infrastructure, and general construction. Detailed segments include servers, storage, networking, UPS systems, generators, transfer switches & switchgear, PDUs, cooling systems, racks, core & shell development, engineering & building design, fire detection & suppression, physical security, and DCIM/BMS solutions.

It also assesses air-based and liquid-based cooling, Tier I & Tier II, Tier III, and Tier IV standards, along with leading IT infrastructure providers, support infrastructure companies, contractors, subcontractors, established investors, and new market entrants. Prominent technology and infrastructure vendors include Cisco, Dell Technologies, Hewlett Packard Enterprise, Huawei Technologies, IBM, Lenovo, NVIDIA, Oracle, ABB, Caterpillar, Cummins, Eaton, Schneider Electric, STULZ, and Vertiv.

Key Questions Addressed

  • How large is the APAC hyperscale data center market?
  • What growth rate is expected through 2031?
  • Which sustainability, AI, power, and cooling trends are influencing investment?
  • How much data center power capacity is expected by 2031?
  • What facility area is projected across the APAC hyperscale data center market by 2031?

Key Attributes:

Report Attribute Details
No. of Pages 396
Forecast Period 2025 - 2031
Estimated Market Value (USD) in 2025 $96.62 Billion
Forecasted Market Value (USD) by 2031 $240.33 Billion
Compound Annual Growth Rate 16.4%
Regions Covered Asia Pacific


Key Topics Covered:
1. About the Analyst
2. Data Center Capabilities
3. What's Included
4. Segments Included
5. Research Methodology
6. Market at Glance
7. Premium Insights
8. Introduction
8.1. Investment Opportunities
8.2. Investment: Market Size & Forecast
8.3. Area: Market Size & Forecast
8.4. Power Capacity: Market Size & Forecast
9. Market Dynamics
9.1. Market Opportunities & Trends
9.2. Market Growth Enablers
9.3. Market Restraints
9.4. Site Selection Criteria
10. Infrastructure Segmentation
10.1. IT Infrastructure
10.2. Electrical Infrastructure
10.3. Mechanical Infrastructure
10.4. Cooling Techniques
10.5. General Construction
11. Tier Standards Segmentation
12. Geography Segmentation
13. APAC
13.1. Data Center Market by Investment
13.2. Data Center Market by Area
13.3. Data Center Market by Power Capacity
13.4. Data Center Market by Support Infrastructure
14. China
15. Hong Kong
16. Australia
17. New Zealand
18. Japan
19. India
20. South Korea
21. Taiwan
22. Singapore
23. Indonesia
24. Malaysia
25. Thailand
26. Philippines
27. Vietnam
Coverage for Chapters 14-27
Impact of AI on Data Center Industry
Government Rules & Regulations
Market by Investment
Market by Area
Market by Power Capacity
Key Support Infrastructure Adoption
Market by Infrastructure
List of Upcoming Data Center Projects
28. Market Participants
28.1. Prominent IT Infrastructure Provider
28.2. Prominent Support Infrastructure Providers
28.3. Other Support Infrastructure Providers
28.4. Prominent Data Center Contractors & Subcontractors
28.5. Other Data Center Contractors & Subcontractors
28.6. Prominent Data Center Investors
28.7. Other Data Center Investors
28.8. New Entrants
29. Quantitative Summary
30. Appendix
30.1. Abbreviations
30.2. Definitions
30.3. Segmental Coverage
A selection of companies mentioned in this report includes, but is not limited to:

  • Arista Networks
  • Atos
  • Broadcom
  • Cisco
  • Dell Technologies
  • Extreme Networks
  • Fujitsu
  • Hewlett Packard Enterprise
  • Hitachi
  • Huawei Technologies
  • IBM
  • Inspur
  • Intel
  • Lenovo
  • Micron Technology
  • NetApp
  • NVIDIA
  • Oracle
  • Pure Storage (Everpure)
  • Quanta Cloud Technology
  • QNAP Systems
  • Quantum
  • Seagate
  • Super Micro Computer
  • Western Digital
  • ABB
  • Caterpillar
  • Cummins
  • Eaton
  • Rittal
  • Schneider Electric
  • STULZ
  • Vertiv
  • 3M
  • Aggreko
  • Airedale
  • AIRSYS
  • Aksa Power Generation
  • Alfa Laval
  • Baudouin
  • Bosch
  • Canovate Group
  • Carrier
  • Condair Group
  • Cyber Power Systems
  • Danfoss
  • Delta Electronics
  • EAE Group
  • EAST GROUP CO.
  • ENGIE
  • ENVICOOL
  • EVADA
  • Fuji Elecetric
  • Green Revolution Cooling (GRC)
  • Hitachi Energy
  • HITEC Power Protection
  • Honeywell
  • Hongbao Power Supply Co.
  • INVT Power
  • KSTAR
  • Legrand
  • Mitsubishi Electric
  • Nanjing Jialitu Data Center Environment Technology Co.
  • Narada
  • Nortek Data Center Cooling
  • Piller Power Systems
  • Rehlko
  • Rolls-Royce
  • Shenling
  • Siemens
  • Socomec Group
  • Submer
  • Systermair Group
  • THYCON
  • Toshiba Corporation
  • Trane
  • ZTE Corporation
  • AECOM
  • Arup
  • Aurecon
  • CSF Advisers
  • DSCO Group
  • Gammon Construction
  • Larsen & Toubro
  • NTT Facilities
  • PM Group
  • Studio One Design
  • ADIK
  • AEON Services
  • AHLUWALIA CONTRACTS
  • Asima Architects
  • ARWADE INFRASTRUCTURE
  • Beca
  • B-Global Tech
  • BYME Engineering
  • China Electronics Engineering Design Institute
  • China State Construction Engineering Corporation
  • Chung Hing Engineers Group
  • Corgan
  • Critical Holdings
  • CTCI
  • Cundall
  • Daiwa House Industry
  • Design Coordinates
  • DL E&C
  • DPR Construction
  • Exyte
  • FDC Construction & Fitout
  • Finishing Touch Design Studio
  • Fortis Construction
  • Gamuda
  • Gensler
  • GS E&C
  • HanmiGlobal
  • Hanwha Corporation E&C Division
  • HDR
  • Heerim Architects & Planners
  • Hutchinson Builders
  • Hyundai Engineering & Construction
  • Icon Construction
  • ISG
  • Kienta Engineering Construction
  • Leighton Asia
  • Linesight
  • LSK Engineering
  • Mace
  • Megawide Construction Corporation
  • Meinhardt Group
  • MES Group
  • MN Holdings
  • Nakano Construction
  • Nikken Sekkei
  • Obayashi Corporation
  • PT AtoZ Teknik Sejahtera
  • PT Berca Buana Sakti
  • PT Jaya Karya Integrasi
  • PT Jaya Teknik
  • PT PP (Persero) Tbk
  • PT Sumaraja Indah
  • Ramboll
  • RED Engineering Design
  • Rider Levett Bucknall RLB
  • SAMOO Architects & Engineers
  • Samsung C&T
  • Sterling and Wilson
  • Syntec Construction Public Company
  • Sunway Construction Group
  • Taisei Corporation
  • Takenaka Corporation
  • TODA CORPORATION
  • Turner & Townsend
  • WT
  • AirTrunk
  • Alibaba Group
  • Amazon Web Services (AWS)
  • Apple
  • Bridge Data Centres
  • CDC Data Centres
  • China Mobile International
  • China Unicom
  • DayOne
  • Digital Realty
  • Equinix
  • Google
  • Keppel Data Centres
  • Meta
  • Microsoft
  • NEXTDC
  • NTT DATA
  • Princeton Digital Group
  • STACK Infrastructure
  • ST Telemedia Global Data Centres (STT GDC)
  • Vantage Data Centers
  • AdaniConneX
  • AIMS Data Centre
  • BDx Data Centers
  • BRIGTHRAY
  • ByteDance
  • CapitaLand
  • CMC Telecom
  • Colt Data Centre Services
  • CtrlS Datacenters
  • Digital Edge DC
  • Digital Halo
  • EdgeConneX
  • Empyrion Digital
  • ePLDT
  • Epoch Digital
  • Fujitsu
  • Global Switch
  • Goodman
  • Iron Mountain
  • KT Corp
  • LG CNS
  • LG Uplus
  • Macquarie Data Centres
  • Mapletree
  • Nxera (Singtel)
  • Nxtra by Airtel
  • OneAsia Network
  • Racks Central
  • Sify Technologies
  • SK Broadband
  • SKYY Development
  • SUNeVision Holdings
  • Telehouse
  • True IDC
  • Viettel IDC
  • VNPT
  • Yotta Data Services
  • YTL Data Center
  • Ada Infrastructure
  • Aqylon Nexus
  • Asia Pacific Land
  • Aslan Energy Capital
  • BW Digital
  • Changhae Development
  • Chinachem Group
  • CloudHQ
  • Cyrus One
  • Create Capital Viet Nam Joint-stock Company
  • CURRENC Group
  • DAMAC Digital
  • Datagrid New Zealand
  • DC Connects
  • Doma Infrastructure Group
  • Diode Ventures
  • ESR
  • Evolution data centres
  • FIR HILLS
  • FutureData
  • GigaStream Toyama
  • GreenSquareDC
  • Global Telecommunications
  • Haoyang Data
  • Henox IT and Datacenters
  • IGIS Asset Management
  • Infracrowd Capital
  • Inuverse
  • ISPT
  • Kakao Corp
  • Lehr Consultants International
  • MaNaDr Mobile Health
  • THOMSON Computing - METAVISIO
  • MARKHAM
  • MegaSpeed AI
  • OKESTRO
  • Supernode
  • Siagon Asset Management
  • SGC energy
  • SC Zeus Data Centers
  • SEAX Global
  • TCS & OpenAI
  • ZDATA Group

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