PETALING JAYA: Vietnam and Thailand are becoming increasingly attractive destinations for data centre investment as regulatory reforms and improving investor sentiment encourage operators to diversify beyond Johor, says research firm BMI.
In its Malaysia Data Centre Overview report, BMI said rising costs, power constraints and stricter sustainability requirements were increasing development risks in Johor, prompting established regional operators to consider alternative markets.
Thailand has introduced a 2GW direct power purchase agreement pilot for data centres, allowing eligible operators to buy renewable electricity directly from generators. Vietnam, meanwhile, has allowed full foreign ownership of data centres and simplified provincial licensing.







