Understanding the data center market & Vietnam in the regional context
• Data centers (DCs) are purpose-built facilities designed to house and protect computer systems, servers, storage devices, and other network components. They serve as critical infrastructure for the storage, processing, and safeguarding of enterprise data. DCs are commonly classified along two dimensions: (i) by Uptime Institute standards, which assess fault tolerance, availability, and downtime; and (ii) by scale and operating model.• The development of a DC from construction to commercial operation typically spans three phases over a period of two to three years. Construction and investment costs for DCs in Vietnam are among the lowest in Asia-Pacific, averaging around USD 6.9 million per MW (according to Cushman & Wakefield), supported by competitive labor, electricity, and land costs.
• According to Cushman & Wakefield’s assessment across 30 markets in 1H2025, Vietnam (Hanoi and HCMC) is classified as an emerging DC market, alongside Manila (Philippines), Brisbane and Canberra (Australia), and Taipei (Taiwan). The combined share of operational capacity held by this group doubled yoy in 1H2025, increasing from 3% to 6%.
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