Datacenter IT Power Capacity in Asia/Pacific to Hit 94.4 GW by 2028
According to a recent IDC report, the Asia/Pacific* (excluding Japan) datacenter deployment model and spending forecast for 2024-2028, the installed datacenter IT power capacity in Asia/Pacific* is projected to grow at a 5-year CAGR of 14.2% and achieve 94.4GW by 2028. The spending on data center IT power capacity increase within Asia/Pacific* has been observed to be 9.6% year-over-year (YoY).
The IDC anticipates that this market’s growth rate will double to 18.3% by the year 2024, primarily due to the emergence of many hyper-scale data centers, which are a result of strong demand for IT infrastructure. The flourishing data center industry is primarily driven by infrastructure modernization efforts across the region fueled by the artificial intelligence boom.
Senior Research Analyst Mikhail Jaura, Datacenter Research, IDC Asia/Pacific, said, “Digital transformation GenAI are reshaping datacenter, driving unprecedented growth and technological advancements in the Asia/Pacific region. Data localization laws are causing enterprises to re-evaluate where they place and how they process their workload to ensure their IT infrastructure complies with the region’s rapidly developing and non-uniforming regulations.
As we step into the base year of 2023, the IDC report, Asia/Pacific (Excluding Japan) Datacenter Deployment Model and Spend Forecast, 2024–2028 (IDC # AP50951824), highlights the significant role of enhanced digital transformation and generative artificial intelligence in the industry’s growth.
While the industry is poised for growth, it is not without its challenges. Expected expansions in data center capacity to handle cloud demands and AI applications will lead to modern centers. However, issues such as power shortages and supply chain disruptions can impede such growth. The key changes, including adopting Nvidia’s Blackwell platform and liquid cooling technologies, mark a step toward more efficient and sustainable data center operations.
