Data Centre Business Booms, Indonesia Strengthens Development Pipeline

The Asia Pacific (APAC) data centre market continues to expand, with the total regional development pipeline reaching a record 19.4 gigawatts (GW) in 2025, according to the Cushman & Wakefield APAC Data Centre H2 2025 Update report published on Monday (11/5/2026).

This pipeline consists of 3.7 GW under construction and 15.7 GW in the planning stage, reflecting sustained development activity across the region.

Southeast Asia accounts for the largest share of capacity under construction at 31%, with markets such as Malaysia, Thailand, and Indonesia contributing to this development pipeline.

In Southeast Asia, Indonesia is part of this regional growth, with activity concentrated in Jakarta and surrounding areas. This market has an operational capacity of 322 megawatts (MW), with an additional 186 MW currently under construction and another 901 MW in the planning stage, indicating ongoing pipeline expansion.

Furthermore, operators have acquired landbanks with the potential to add more than 3.9 GW of capacity in Indonesia. On the demand side, colocation vacancy rates in Greater Jakarta have fallen to 24.9% by the end of 2025, compared to around 36% in 2024, reflecting significant increases in demand.

Andrew Green, Head of Data Centre Group, Asia Pacific, stated that the Jabodetabek region continues to strengthen its position as one of the fastest-growing data centre markets in Asia Pacific, with operational capacity projected to increase up to 4.4 times by 2030.

“More than one gigawatt of capacity is currently in the development pipeline through to 2030, reflecting sustained demand from hyperscalers and enterprises. Greater Jakarta is also one of the few markets attracting investments from American and Chinese hyperscalers, further solidifying its position as a primary data centre hub in Southeast Asia,” he said.

Across Asia Pacific, AI and cloud workloads are identified as the main drivers of new supply, shaping development priorities towards locations with power readiness and high-capacity infrastructure. This demand is accelerating development timelines in various markets.

Governments in the region are also aligning policy frameworks with digital infrastructure development, while power availability, sustainability commitments, and regulatory considerations remain key factors in site selection.