Delivering Data Centres in an AI-Driven World (APAC perspective)

Overview

This 17 June 2024 article from Turner & Townsend, written by Simon Kearney, offers a view of how data centres are delivered in Asia-Pacific in an AI-driven world. It is freely readable and draws on the firm's 2023 cost index survey, which examined 46 markets. It is the perspective of a consultancy and not an independent academic study.

The article's main message is that access to power dominates site selection: 92% of surveyed respondents rank access to power above location. At a time when AI workloads push up power demand, this shows that a site's value is set more by grid connection and capacity than by geographic appeal. On cost, in the 2023 index costs rose by 13% in Jakarta and 10% in Kuala Lumpur, examples of the large cost rises in emerging markets. Singapore ranked as the fifth most expensive market after Tokyo, Zurich and Silicon Valley. The article also notes that renewables integration is growing.

The article's limit is that it rests only on a survey and an opinion piece; method detail and raw data are not presented here. The figures should therefore be read as indicators of the regional trend rather than exact values. The practical takeaway for teams doing site screening is to weight power availability heavily and apply market cost escalation factors.

Key points

1. 92% of surveyed respondents rank access to power above location.
2. Jakarta and Kuala Lumpur costs rose 13% and 10% in 2023.
3. Singapore is the fifth most expensive market after Tokyo, Zurich and Silicon Valley in the 2023 index.
4. The 2023 cost index examined 46 markets.
5. The article is dated 17 June 2024 and focuses on Asia-Pacific data centre delivery.
6. Renewables integration is growing.
7. A consultancy's perspective; freely readable.

Using it in design

• In APAC site screening, weight power availability heavily.
• Apply market cost escalation factors.
• Set budget assumptions separately for high-cost markets such as Singapore and Tokyo.
• Treat renewables integration as a criterion in site scoring.

Who should read it

Investors, project managers and planning engineers setting site selection, budget and delivery strategy in Asia-Pacific.

Publication details

Authors

Simon Kearney

Publisher

Turner & Townsend

Year

2024

Document language

English

Source type

Expert / community

Access

Free to read

Licence

Copyright retained; citation only — the publisher’s terms apply to the original document

Citation