\n<\/p>\n
Ranks the third most attractive data center location
\nin APAC<\/p>\n
\n
<\/p>\n
Land supply increase through HSITP in the Lok Ma
\nChau Loop advisable<\/p>\n
HONG KONG SAR –\u00a0Media OutReach<\/a>\u00a0– 22 June 2021
Data center
\u00a0<\/p>\n
The cable infrastructure in Hong Kong has increasingly strengthened and
\u00a0<\/p>\n
As of end-1Q21, total data center
\u00a0<\/p>\n
Cushman & Wakefield anticipates 4.16 million square feet of data
\u00a0<\/p>\n
Power shortages present another bottleneck in
\u00a0<\/p>\n
Shortage of land supply remains one of
Ranks the third most attractive data center location
in APAC
Land supply increase through HSITP in the Lok Ma
Chau Loop advisable Pandemic and geopolitical tension exert
little impact on the market position of Hong Kong’s data center. Hong Kong advances
to the third most attractive data center location in Asia Pacific this …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[60],"tags":[],"_links":{"self":[{"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/posts\/15741"}],"collection":[{"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/comments?post=15741"}],"version-history":[{"count":0,"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/posts\/15741\/revisions"}],"wp:attachment":[{"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/media?parent=15741"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/categories?post=15741"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/eodishasamachar.com\/en\/wp-json\/wp\/v2\/tags?post=15741"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\n–\u00a0Global real estate services firm Cushman & Wakefield reveals today that
\nwhile pandemic and geopolitical tensions have impeded the development of data centers
\nin multiple markets around the world, Hong Kong’s data center market still
\nstands out firmly. Hong Kong advances to the third most attractive data center
\nlocation in Asia Pacific and is highly sought after by investors and operators.<\/p>\n
\n
<\/p>\n
\ninvestment market in Hong Kong has remained robust despite the pandemic. Early
\nin the year, Mapletree Investments acquired a site in Fanling at HK$813 million
\nto debut their local data center construction project in Hong Kong, which is
\nexpected to complete by 2023. Established operators such as PCCW, Equinix and SUNeVision also continue
\non their new data center facilities, and mainland operator GDS has kicked off
\ntheir first owned data center project in Kwai Chung, expected to complete in mid-2022.<\/p>\n
\n
<\/p>\n
\n
<\/p>\n
\nbeen extensive and further fibre connectivity will soon link Hong Kong to other
\nregional locations. For example, the Asia Direct Cable (ADC) is scheduled to go
\nlive by the end of 2022, with no fewer than eight major telecommunications
\nfirms providing capital and know-how for the 9.400-kilometre system. The cable
\nwill link Hong Kong to Japan, the Philippines, mainland China, Vietnam,
\nThailand, and Singapore. Also coming online next year is the Southeast
\nAsia-Japan Cable 2 linking Hong Kong to South Korea, Japan, mainland China,
\nTaiwan, Vietnam, and Thailand. The China Mobile Mobile-backed Hainan to Hong
\nKong Express cable will link Hong Kong to Hainan and Zhuhai, with operations
\ncommencing this year. Cushman & Wakefield expects that the Hong Kong data
\ncenter market will continue to flourish in the future, with investor interest
\nand absorption remaining at a relatively high level. <\/p>\n
\n
<\/p>\n
\n
<\/p>\n
\nstock in Hong Kong amounts to 8.38 million sq ft, of which 80% is dominated by
\n10 operators including the two largest (in terms of total floor area) local operators \u2013 SUNeVision and
\nPCCW Solutions, which account for 30% of the market area. Non-local operators
\ncollectively occupy around 43%. Existing data center demand is supported by
\nfinance, banking, insurance, and telecom operators. With growing use of
\nInternet of Things (IoT), 5G network, and cloud computing, as well as the
\npost-COVID-19 working from home practice becoming a “new” normal, the market
\ndemand for cloud computing and storage surge rapidly. Cushman & Wakefield expects the future demand of data center be largely driven by leading
\nglobal cloud service providers such as AWS, Microsoft Azure, Google Cloud,
\nTencent Cloud, and Alibaba Cloud. <\/p>\n
\n
<\/p>\n
\n
<\/p>\n
\ncenter supply by the end of 2025, yet the rate of construction has yet to meet the
\never-rising demand for high-tier facilities. Mr Keith Chan, Cushman &
\nWakefield’s Head of Research, Hong Kong, <\/b>commented, “We notice that about
\n86% of the upcoming supply has already been pre-committed by data center operators,
\nleaving only a small fraction of space available for future demand. In Hong
\nKong, it generally takes at least three to four years to build a new data center.
\nTherefore, we expect data center supply is still in short in the medium term”.<\/p>\n
\n
<\/p>\n
\n
<\/p>\n
\nsupply. The existing 11kV power supply network cannot meet the substantial power
\ndemand of hyperscale data centers. It usually takes power companies about four
\nyears to provide the additional power supply with 132kV power transformers,
\ncreating a gap of 18 to 24 months between the target commencement date of data
\ncenter operations and delivery of the necessary power supply. Cushman &
\nWakefield recommends the government and power companies to swiftly explore and
\ncoordinate on how to increase power supply capacity and shorten power delivery
\ntimelines to ensure the infrastructure is in place for future development of data
\ncenter in Hong Kong.<\/p>\n
\n
<\/p>\n
\n
<\/p>\n
\nthe critical challenges to the future growth of the Hong Kong’s data center
\nmarket. Mr John Siu, Managing Director, Cushman & Wakefield, Hong Kong<\/b> mentioned, “In
\nresponse to the shortage of land catered for data centers, the government may
\nconsider collaboration with Shenzhen at the Hong Kong-Shenzhen Innovation and
\nTechnology Park (HSITP) located in the Lok Ma Chau Loop for joint development
\nof data center facilities for the Greater Bay Area. Besides, the government should also streamline
\nthe coordination across different departments, and accelerate the application
\nand approval process of the works required for data center development and
\nreconstruction.” <\/p>\n<\/p><\/div>\n\n
Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"