Google Doubles Down On Southeast Asia Investments With $1 Billion Data Center Project In Thailand

Alphabet’s Google will spend $1 billion to build new cloud computing and data center infrastructure in Thailand, deepening its digital investments in Southeast Asia.

Google said it will develop the digital facilities in Bangkok and the eastern province of Chonburi. The project aims to improve access to artificial intelligence applications and equip Thai’s with digital skills, it said in a statement released on Monday.

“Google's investment in its data center and cloud region in Chonburi and Bangkok, respectively, coupled with growing Thai expertise in cloud computing and AI, are perfectly aligned with our national Cloud First Policy,” Paetongtarn Shinawatra, Prime Minister of Thailand said in the statement. “This synergy will accelerate the development of innovative digital services and in turn unlock economic opportunities and enhance the quality of life for all Thais."

A recent Deloitte study projects that Google's latest investment in Thailand can add $4 billion to the country's GDP by 2029 and help create an average of 14,000 jobs annually from 2025 to 2029.The facilities in Bangkok and Chonburi are expected to meet the growing demand for cloud computing capabilities and AI innovations, as well as drive usage of the company's popular digital services like Search, Maps, and Google Workspace.

In June, Google partnered with Thai billionaire Sarath Ratanavadi’s Gulf Energy to offer Google Distributed Cloud services in the country. The duo also plans to develop additional services within the Google Cloud ecosystem, including potential future ventures into AI and cybersecurity solutions.

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Apart from its Thai initiatives, Google has commenced construction of a $2 billion data center and cloud infrastructure project at Elmina Business Park in Selangor, north of Kuala Lumpur. The project, which was originally unveiled in May, is projected to generate over $3.2 billion in Malaysia’s economy and create 26,500 jobs by 2030.

“Google’s investments in infrastructure, digital skilling, and sustainability represent progress on our joint efforts with the Government of Malaysia to create high-value jobs and bring the benefits of AI to local communities and companies,” Ruth Porat, president and chief investment officer of Alphabet and Google, said in a separate statement. “Together, we will empower individuals and businesses in Malaysia to innovate, grow, and fully harness the potential of the digital age.”

Google Cloud also announced a partnership with Dagang NeXchange Berhad (DNeX) to support its data center facility in Malaysia. As part of the deal, DNeX will offer cloud solutions in Malaysia specifically designed to meet the digital needs of organizations in regulated sectors, including public services, healthcare, and energy.

Underscoring Southeast Asia’s growing importance, Google has been stepping up its investments in Southeast Asia. In June, it announced plans to will boost its data center and cloud infrastructure spending in Singapore to over $5 billion, a more than five-fold increase from $850 million in 2018.

Other tech giants including Amazon, Apple, Microsoft, and Nvidia have been ramping up investments across the region with a population of about 675 million people. with Malaysia becoming the region’s fastest growing data center hub. Malaysian tycoon Francis Yeoh’s YTL Power has partnered with billionaire Jensen Huang’s Nvidia to build an AI-powered data center in the southern Malaysian state of Johor, north of Singapore.