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Asia Pacific’s Data Centre Development Pipeline Reaches Record 26.5GW in H1 2026

05/08/2026
  • 7.1GW added to the development pipeline and 1.4GW of operational capacity delivered
  • Southeast Asia accounts for about 50% of the region’s under-construction capacity, led by Malaysia and Thailand
  • Growing AI and hyperscale investment expands data centre activity into emerging markets including Vietnam

Ho Chi Minh city, 5 August, 2026 – Asia Pacific's (APAC) data centre development pipeline reached a record 26.5 gigawatts (GW) in H1 2026. The region added 7.1GW in just six months, marking one of the strongest half-year gains on record as hyperscalers, cloud providers and AI platforms accelerated infrastructure investment across the region.

According to Cushman & Wakefield's APAC Data Centre H1 2026 Update, the region's development pipeline now comprises 4.8GW under-construction and 21.7GW in planned capacity. Approximately 1.4GW of operational capacity was also delivered across APAC, highlighting the market's ability to bring new supply online at scale while keeping pace with rapidly growing digital infrastructure requirements.

Despite significant new deliveries, colocation vacancy declined from 10.9% in H2 2025 to 10.3% in H1 2026, underscoring continued absorption across key markets and the resilience of occupier demand amid ongoing capacity expansion.

“AI and cloud investment across Asia Pacific has entered a phase of rapid, power-constrained execution,” said Andrew Green, Head of Data Centre Group, Asia Pacific. “The challenge increasingly lies in securing the power infrastructure needed to support the next generation of AI workloads. Historically, data centres were clustered around connectivity, but now, we're seeing expansion gravitate towards markets that can provide power at scale. This is creating new growth corridors across the region and accelerating investment beyond traditional data centre hubs.”

Southeast Asia (SEA) continues to hold the largest share of under-construction capacity in APAC, accounting for approximately 50% of the regional total. Malaysia leads with 1,039 megawatts (MW) under construction, followed by Thailand at 859MW. Strong occupier demand, supportive government policies and continued investment in digital infrastructure have reinforced SEA's role as a major growth engine for APAC's data centre sector.

At the same time, Vietnam is attracting growing interest from hyperscale, cloud and AI operators. Ho Chi Minh City's development pipeline reached 68MW in H1 2026, more than double its existing operational capacity, supported by major investment announcements including a US$1 billion framework agreement between G42, FPT Corporation and Viet Thai Group, as well as a proposed US$2 billion AI hyperscale data centre project.

Much of this momentum is concentrated in Johor and Bangkok. Johor's under-construction capacity nearly doubled to 602MW in H1 2026, while Bangkok recorded one of APAC's fastest expansion rates, with under-construction capacity surging 148% to 859MW. Vietnam is also strengthening its position in the region's digital infrastructure landscape, supported by regulatory reforms, increasing foreign investment and improved regional connectivity through projects such as the MViSTA submarine cable linking Vietnam with Singapore, Johor and Thailand.

Across APAC, several markets recorded notable gains in development activity during the first half of 2026:

Market

Development Pipeline

Other Key Metrics

Johor

3,088MW (+28%)

  • U/C: 602MW (+91%),
  • Operational: 1,110MW (+24%)

Sydney

2,134MW (+65%)

  • Planned: 2,018MW (+83%)
  • Operational: 917MW (+17%)

Bangkok

2,084MW (+99%)

  • U/C: 859MW (+148%)
  • Operational: 134MW (+19%)

Mumbai

1,726MW (+31%)

  • Operational: 890MW (+16%)

Jakarta

1,699MW (+56%)

  • U/C: 395MW (+112%)

 

Beyond capacity growth, the report highlights how development strategies are evolving across APAC. As infrastructure requirements become more demanding, developers are increasingly prioritising deployment speed, operational efficiency, sustainability, and long-term scalability.

Pritesh Swamy, Head of Research & Consulting for the Data Centre Group in Asia Pacific, said: “We're seeing developers move beyond traditional data centre blueprints as infrastructure requirements become more demanding. In most markets, speed to market is increasingly shaping development decisions. Modular construction approaches and advanced cooling technologies are helping operators maximise available infrastructure while shortening deployment timelines. As computing environments become denser, operators are also placing greater emphasis on resource efficiency and long-term sustainability, including how power and water are managed as facilities scale.”

APAC Data Centre Market Maturity Index

Cushman & Wakefield's APAC Data Centre Maturity Index tracks 30 markets across the region and provides a comparative view of their maturity and growth potential. The index evaluates markets based on operational capacity, development pipeline, vacancy levels, operator presence and long-term growth prospects, grouping them into four categories: Powerhouse, Established, Developing and Emerging.

The latest index highlights the growing scale and sophistication of APAC's data centre landscape. Johor retained its position as the region's leading market by combined operational and future capacity, exceeding 4GW and widening its lead over its regional peers. Reflecting the rapid expansion of operational capacity and development pipelines across the region, the criteria underpinning the Maturity Index were revised upwards in H1 2026. The higher benchmarks resulted in several market reclassifications, reflecting the pace at which development pipelines and operational capacity continue to scale across the region.

Looking ahead, Australia, India, Japan and Malaysia are on track to surpass 2GW of operational capacity by 2028. "The next wave of growth will be driven by markets that can successfully balance scale, power availability and long-term infrastructure readiness. While traditional hubs will remain critical to the digital economy, we're seeing a broader group of markets emerge as important destinations for future data centre investment, reflecting the growing depth and maturity of Asia Pacific's digital infrastructure landscape," said Green.

For more information and to download the report, please click here.

About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for property owners and occupiers with approximately 52,000 employees in nearly 400 offices and 60 countries. In 2024, the firm reported revenue of $9.4 billion across its core service lines of Services, Leasing, Capital markets, and Valuation and other. Built around the belief that Better never settles, the firm receives numerous industry and business accolades for its award-winning culture. For additional information, visit www.cushmanwakefield.com.

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Asia Pacific’s Data Centre Development Pipeline Reaches Record 26.5GW in H1 2026

Asia Pacific's (APAC) data centre development pipeline reached a record 26.5 gigawatts (GW) in H1 2026. 

05/08/2026

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