Philippines telecom giant Globe Telecom Inc. plans to invest at least US$1 billion in 2027 to expand its digital business especially those related to AI and data centers, according to its President and Chief Executive Officer Carl Raymond Cruz. The firm hopes that the AI boom will accelerate its data center venture into its next billion-dollar business just like its fintech arm Mynt Inc. which is about to be listed in the Philippines.
“We need to continue investing in the network but with very selective, highly-prioritized areas mainly related to data and the digital economy,” Cruz told Bloomberg in a recent interview.
Globe is looking to capitalise on the AI boom to fuel its next leg of growth. The country’s second-largest telecommunications firm already has a DC footprint through ST Telemedia Global Data Centres Philippines, a joint venture between parent Ayala Corp. and Singapore Technologies Telemedia Pte.
STTGDC Philippines operates five facilities currently with capacity growing up to 35MW by end 2026 before expanding to 124MW over the next three years through new sites and expansion of existing facilities, Cruz said. A potential listing of its data center business is among the options being considered to fund further expansion.
Philippines currently hosts 44 data centers carrrying about 140MW of live capacity and another 264MW under construction or planned. Rival PLDT Inc., dominates the market with subsidiary VITRO Inc. seeking up to 24.2 billion pesos (US$ 387 million) in a real estate investment trust IPO.
In July, the government through an executive order, requires the government’s most sensitive digital information to remain within Philippine jurisdiction, potentially boosting demand for local facilities.