In today’s hyper-connected world, where information travels at lightning speed and distance is no longer a barrier, the importance of connectivity cannot be overstated. We live in a world where connections are not limited to geographical boundaries but extend across continents.
From the way we communicate and collaborate to the way we access knowledge and conduct business, connectivity has become the lifeblood of our society, revolutionizing the way we work, learn, and interact.
Additionally, in this fast-paced, technology-driven era, connectivity also plays a vital role in enabling data centers to function effectively, connect with other systems and networks, and deliver services to their users.
Bridging the Gap
According to Kavin Wong, Co-founder of Data Center First “Connectivity is the lifeblood of data center business,”. It is the fundamental aspect that drives the data center business, ensuring seamless communication and data transfer between various entities.
“Traditionally, connectivity can be divided into two layers: internet connectivity and other physical network elements,” said Wong.
Internet Connectivity
“Internet connectivity allows data centers to be interconnected among themselves inside the city and to be able to interconnect themselves to other cities or neighboring cities or, further cities,”
Data centers leverage the internet infrastructure to establish robust connections among themselves, allowing efficient data exchange. This interconnectedness is vital for data centers to operate effectively and cater to their customers’ needs.
Physical Network Connectivity
“Other connectivity such as subsea fiber is just one of the elements of a physical network that provide data centers, all kinds of data centers the ability to interconnect one another well and that’s very much essential to the business and customers,”
Subsea fiber involves laying fiber optic cables beneath the ocean to establish high-speed connections across continents. These physical network elements facilitate interconnection between data centers of all types, enabling them to exchange data seamlessly. This interconnectedness is essential not only for the data center business but also for its customers, as it allows for efficient data transfer and access.
Emergence 5G Connectivity
“The new network that is happening and evolving very quickly is the leveraging of 5g. Now everyone talks about 5g and we see 5g as a new dimension that enables us to take new types of services to the enterprise world and how 5g provides the ability for edge computing to be able to be implemented across customer locations. Aggregating into data centers and cross connecting to other people.”
With 5G, data processing and computation can be brought closer to the source of data generation, reducing latency and enabling real-time decision-making. This allows for the deployment of edge computing solutions at customer sites, where data can be processed locally before being aggregated into data centers. 5G also facilitates seamless cross-connections between different entities, enabling efficient data exchange and collaboration.
Evolution of Data Center in Southeast Asia
“The evolution of data centers is not a new phenomenon and has been for the last 10 years. The data center industry has already been constantly evolving,” said Wong.
While mentioning the evolution of the data center industry over the past 10 years. Wong highlights Jakarta as an example, stating that its development into a prominent data center hub did not occur suddenly but took a significant amount of time.
The same is said for Singapore, which has been continuously progressing in the data center industry. Additionally, he also mentioned other markets such as Bangkok. Wong emphasized that the growth and evolution of data centers in these locations are supported by two key factors.
Economic Vibrancy of the Region
“Growing in with a joint venture and building data centers, all these things will evolved and and this is supported by the economic vibrancy,”
The economic vibrancy of the region, particularly Southeast Asia, is identified as a primary driver for data center growth. This suggests that the flourishing economy in the region has created opportunities for companies to invest in and benefit from data center infrastructure.
Advancement of Government Policies
“The advancement of government policy to open up the digital transformation opportunity for companies to take advantage of and all these will basically feel growth,”
The advancement of government policies is highlighted as crucial in opening up opportunities for digital transformation. The governments in the mentioned locations are viewed as having implemented policies that facilitate the development and expansion of data centers, thereby enabling companies to leverage the benefits of digital transformation.
Building DC Considering the Interconnectivity
Wong highlighted the connectivity and progressive telecommunication policies between Singapore, Batam, and Johor, which have been instrumental in facilitating data center growth.
“The telecommunication policy between these three countries have constantly been very progressive. So on that basis, we entered on a web progressive government policy in all three countries. So that’s good news about connectivity,”
Wong further mentioned that major telecom companies are investing in building fiber connectivity between Singapore and both Batam and Johor. This investment in infrastructure is viewed as a positive sign for the data center industry. The presence of both incumbent and competitive carriers indicates a healthy competitive environment that drives the expansion of connectivity between the locations.
Furthermore, Wong also acknowledged that there are challenges, but these challenges are considered localized and specific to each data center operator or customer entering the region
“Challenges faced by data center operators and customers in different regions can be localized. These challenges often involve interconnectivity and administrative hurdles. However, these obstacles can be overcome through collaborative learning and are not insurmountable. Therefore, I believe these challenges will not hinder the growth happening in these three locations,” said Wong.