Dublin, Jan. 22, 2025 (GLOBE NEWSWIRE) -- The "Vietnam Data Center Market, By Region, Competition, Forecast and Opportunities, 2020-2030F" report has been added to ResearchAndMarkets.com's offering.
The Vietnamese Data Center Market was valued at USD 1.57 Billion in 2024, and is expected to reach USD 3.53 Billion by 2030, rising at a CAGR of 14.20%.
Vietnam's Data Center Market is experiencing rapid growth, driven by the country's expanding digital economy and the increasing demand for digital services across various sectors. With a growing population of internet users and smartphone owners, Vietnam has emerged as a promising market for data center infrastructure, catering to the needs of businesses, government agencies, and consumers alike.
The market is characterized by significant investments in modern data center facilities, fueled by factors such as rising internet penetration, government initiatives to promote digital transformation, and the adoption of cloud computing and hybrid IT solutions. Moreover, the COVID-19 pandemic has accelerated the pace of digitalization, leading to a surge in demand for data center services to support remote work, online learning, e-commerce, and digital entertainment. As Vietnam continues to embrace digital technologies and infrastructure, the data center market is poised for continued expansion, offering opportunities for domestic and international players to capitalize on the country's growing digital ecosystem.
Key Market Trends
Adoption of Edge Computing Technologies
The Vietnam Data Center Market is the increasing adoption of edge computing technologies. Edge computing involves processing data closer to the source of generation, such as IoT devices, sensors, and mobile devices, rather than relying solely on centralized data centers. This distributed computing paradigm offers several advantages, including reduced latency, improved bandwidth efficiency, enhanced data privacy, and real-time data processing capabilities. As Vietnam experiences rapid urbanization, digitalization, and the proliferation of smart devices and IoT applications, the demand for edge computing solutions is on the rise.
Edge computing enables organizations to deliver low-latency, high-performance services and applications, making it ideal for latency-sensitive use cases such as autonomous vehicles, augmented reality, and industrial automation. Moreover, edge computing helps alleviate network congestion and bandwidth limitations by offloading processing tasks to edge devices, resulting in a more efficient and responsive digital infrastructure.
In response to these trends, data center operators in Vietnam are increasingly deploying edge computing nodes and micro data centers at the network edge to support emerging applications and deliver superior user experiences. This shift towards edge computing is expected to drive investments in edge infrastructure, edge data centers, and edge computing services, shaping the future landscape of the Vietnam Data Center Market. The deployment of 5G technology is closely linked with edge computing. By 2027, the number of 5G connections is expected to reach 1.7 billion globally, which will dramatically increase the need for edge data centers to support high-speed, low-latency applications.
Hybrid Multi-Cloud Adoption
The Vietnam Data Center Market is the growing adoption of hybrid multi-cloud architectures by enterprises. Hybrid multi-cloud environments combine private cloud, public cloud, and on-premises infrastructure to create a flexible and scalable IT infrastructure that meets the diverse needs of businesses. With the proliferation of cloud computing services and the increasing complexity of IT environments, enterprises in Vietnam are leveraging hybrid multi-cloud strategies to optimize workloads, improve agility, and enhance cost efficiency.
By leveraging the strengths of multiple cloud platforms and data center resources, organizations can achieve greater resilience, scalability, and flexibility while minimizing vendor lock-in and maximizing resource utilization. Additionally, hybrid multi-cloud architectures enable businesses to leverage the best-of-breed technologies and services from different cloud providers, tailoring their IT infrastructure to meet specific business requirements and regulatory compliance standards. As enterprises continue to embrace digital transformation initiatives and migrate their workloads to the cloud, the demand for hybrid multi-cloud solutions and services is expected to grow, driving investments in cloud-native technologies, connectivity solutions, and managed services in the Vietnam Data Center Market.
Focus on Sustainability and Green Data Centers
Sustainability and environmental stewardship have emerged as key priorities in the Vietnam Data Center Market, driving the adoption of green data center technologies and practices. With increasing awareness of climate change and the environmental impact of data center operations, businesses and data center operators in Vietnam are increasingly seeking to reduce their carbon footprint and minimize energy consumption. Green data center technologies, such as energy-efficient cooling systems, server virtualization, and renewable energy sources, are being deployed to improve energy efficiency, reduce operating costs, and lower greenhouse gas emissions.
Moreover, initiatives such as the Green Data Center Program launched by the Vietnamese government aim to promote the adoption of energy-efficient technologies and best practices among data center operators, incentivizing investments in sustainable infrastructure and eco-friendly operations. As sustainability becomes a key differentiator and competitive advantage for data center providers, there is growing momentum towards the development of green data centers in Vietnam. These facilities are designed to minimize environmental impact while delivering high-performance computing capabilities and reliable services to customers. By prioritizing sustainability and green initiatives, data center operators can enhance their corporate social responsibility efforts, attract environmentally-conscious customers, and contribute to the overall sustainability goals of the Vietnam Data Center Market.
Increased Focus on Cybersecurity and Data Protection
Cybersecurity and data protection have become top priorities for organizations in the Vietnam Data Center Market, driven by the escalating threat landscape and the growing regulatory scrutiny around data privacy and security. With the rise of cyberattacks, data breaches, and ransomware incidents, businesses are investing heavily in cybersecurity measures to safeguard their sensitive information and mitigate security risks. Data center operators play a critical role in ensuring the security and integrity of data stored and processed within their facilities, making cybersecurity a fundamental aspect of data center operations.
In response to these challenges, data center operators in Vietnam are implementing robust cybersecurity measures, including network segmentation, encryption, access controls, threat detection, and incident response protocols, to protect against cyber threats and unauthorized access. Moreover, compliance with data protection regulations, such as the Vietnamese Law on Cybersecurity and international standards such as ISO/IEC 27001, is becoming increasingly important for data center operators to maintain customer trust and regulatory compliance. As organizations continue to digitize their operations and embrace cloud computing, the demand for cybersecurity solutions and services is expected to grow, driving investments in advanced security technologies, managed security services, and security operations centers (SOCs) in the Vietnam Data Center Market.
Embrace of Artificial Intelligence and Automation
Artificial intelligence (AI) and automation are reshaping the Vietnam Data Center Market, revolutionizing data center operations, management, and optimization. With the proliferation of data generated by digital applications and IoT devices, data center operators are turning to AI and machine learning (ML) algorithms to extract insights, optimize resource allocation, and improve operational efficiency. AI-powered analytics tools can analyze vast amounts of data in real-time, enabling predictive maintenance, proactive fault detection, and performance optimization in data center infrastructure.
Moreover, automation technologies such as robotic process automation (RPA), software-defined networking (SDN), and infrastructure as code (IaC) are streamlining data center management tasks, reducing manual intervention, and accelerating the deployment of IT resources. By embracing AI and automation, data center operators in Vietnam can enhance agility, scalability, and reliability, while reducing operational costs and maximizing resource utilization. Furthermore, AI-driven insights and automation capabilities enable data.
Regional Insights
Southern Vietnam dominated the Vietnam Data Center Market and is expected to maintain its dominance during the forecast period. This region's leadership is primarily driven by several key factors that uniquely position it as a hub for data center activities. Southern Vietnam, particularly Ho Chi Minh City, serves as the economic and financial center of the country, hosting a large concentration of businesses, multinational corporations, and technology firms. These enterprises demand robust data center infrastructure to support their digital operations, including data storage, processing, and networking capabilities.
Moreover, Southern Vietnam benefits from extensive connectivity and transportation networks, making it an attractive location for data center investments. The region boasts well-developed telecommunications infrastructure, including high-speed internet connectivity and reliable power supply, essential for data center operations. Additionally, Ho Chi Minh City's status as a major international gateway and trade hub further enhances its appeal to global data center providers seeking to establish a presence in Vietnam. Furthermore, the region's favorable business environment, supportive government policies, and incentives for high-tech industries contribute to its dominance in the data center market.
The Vietnamese government's initiatives to promote digital transformation and smart city development also play a significant role in driving data center investments in Southern Vietnam. As the demand for digital services continues to rise, fueled by factors such as e-commerce growth, cloud adoption, and digitalization across various sectors, Southern Vietnam is poised to maintain its position as the leading region for data center development. While Northern and Central Vietnam also contribute to the data center market, Southern Vietnam's established infrastructure, strong business ecosystem, and strategic advantages ensure its continued dominance in the foreseeable future. As data volumes increase and technological advancements drive the need for advanced data center solutions, Southern Vietnam's leadership in the data center market is expected to remain unchallenged, cementing its status as the preferred destination for data center investments in Vietnam.
Key Market Players
- Equinix
- Digital Realty Trust
- NTT Communications
- Global Switch
- Telstra Group
- CyrusOne
- Kyndryl
- KDDI
- STT GDC
- Lumen Technologies
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 86 |
| Forecast Period | 2024 - 2030 |
| Estimated Market Value (USD) in 2024 | $1.57 Billion |
| Forecasted Market Value (USD) by 2030 | $3.53 Billion |
| Compound Annual Growth Rate | 14.2% |
| Regions Covered | Vietnam |
Report Scope:
In this report, the Vietnam Data Center Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:
Vietnam Data Center Market, By Solution:
- IT Infrastructure
- General Infrastructure
- Mechanical Infrastructure
- Other
Vietnam Data Center Market, By Type:
- Corporate
- Web Hosting
Vietnam Data Center Market, By End User Industry:
- IT & Telecom
- BFSI
- Government
- Healthcare
Vietnam Data Center Market, By Region:
- Southern Vietnam
- Northern Vietnam
- Central Vietnam
For more information about this report visit https://www.researchandmarkets.com/r/74b4vc
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