DayOne broke ground for a 20MW data centre which will support hybrid air and liquid cooling technologies to meet cloud/AI demand

• The market faces extreme supply constraints with just 12 MW vacant out of 1,198 MW total inventory. Only three of four planned data centres remain available for enterprise/hyperscale leasing, with 113 MW under construction across limited projects.
• The Infocomm Media Development Authority (IMDA) 2024 Green Data Centre Roadmap targets 300 MW additional capacity through sustainable pathways, with new approvals hinging on sustainability, efficiency, connectivity, and digital ecosystem contributions.

Keppel JV sold two hyperscale data centres in Singapore for USD 1.05 billion while developing a third

• In February 2025, IMDA released advisory guidelines for cloud providers and data centre operators, expected to become part of the forthcoming Digital Infrastructure Act, covering infrastructure security and business continuity.

NTT DC REIT raised USD 773 million in its IPO comprising six data centres in the US, Austria, and Singapore in its portfolio

• Singapore’s strategy integrates AI, quantum computing (USD 227 million committed), and sustainability initiatives. The market will remain tight through 2025 as sustainability requirements reshape growth.

Outlook

• For Users
  • Limited options available for enterprise clients.
  • Rents are likely to rise due to supply constraints.
  • Improvements in PUE likely to benefit occupiers.
• For Providers
  • Sustainable DCs to provide competitive edge to operators.
  • Development costs are expected to rise.
  • AI ready DCs will impact design and operations.