In the Philippines, the relationship between the Telco industry and Cloud Computing is symbiotic. The Cloud Computing, Cybersecurity, and Datacenter landscape is intensifying with new entrants keen to establish their foothold in the market. Market optimism is at an all-time high, a signal that the Cloud ecosystem is on the precipice of accelerated growth.

The rise of Singapore in the Cloud Computing, and Datacenter sphere is remarkable, and startlingly impressive for a nation with limited land. Its position as a mature datacenter hub both lends it, industry regard as well as, motivates its regional counterparts to emerge as market contenders.

According to a study by Frost & Sullivan, global traffic between data centers will grow by 28% annually between 2018 and 2021, a higher growth rate than the traffic between data centers and the users, which is projected at 24%. This trend has been driven by CDNs and the need to disseminate large volumes of static content closer to the user, such as images and video. The ASEAN data center market is set to grow at a CAGR of 16.1% over the next 5 years. Emerging markets, Indonesia and Thailand, are expected to be key growth engines in ASEAN. 

Malaysia’s Cloud and Datacenter landscape is primed to leap into the next phase of Cloud Computing. The rise of Artificial Intelligence (AI), coupled with its potential to revolutionize every step of the industrial, manufacturing and service delivery process, is driving this evolution. Even though AI is on the horizon with its presence working as a signal of the future dominance of Industry 4.0, uncertainties still exist. The question still lingers: Is Malaysia’s infrastructure ready?

Indonesia’s position as the largest economy in Southeast Asia has fueled its rise in the Cloud Computing, and Datacenter industry. Coupled with relatively low startup and operational costs, the country is rivaling traditional Cloud Computing, Cybersecurity, and Datacenter hubs.  Datacenters in Jakarta alone are set to witness a compound annual growth rate (CAGR) of 21.8% in the years 2019-2024 , the highest for any city in Southeast Asia (Cushman & Wakefield Datacenter Report 2019). 

Among ASEAN countries, Vietnam has increasingly proven itself to have one of the largest room for cloud adoption with the country’s rapid growth in Cloud expenditure. In 2018, Vietnam’s Cloud service market was valued at USD$165 million and it is projected to reach $291 million by 2024, exhibiting a double digit CAGR of 10% between 2019 and 2024.