The Thailand Board of Investment (BOI) has approved investment privileges for projects worth a combined 100 billion baht ($3.1 billion) in value, including data center projects by several international investors.
According to the BOI’s statement on Monday, Telehouse (Thailand) Co., Ltd., a subsidiary of Japan’s KDDI Corporation, has received approval for a 7.55 billion baht investment in a data center project with an information technology (IT) load of 12MW, to be located in the Huai Khwang District of Bangkok.
KDDI operates some 45 data centers under the Telehouse brand in more than 10 countries worldwide. The new project will be located next to an existing data center of the same company.
Meanwhile, Vistas Technology Co., Ltd., a subsidiary of China’s ZDATA Technologies Co., Ltd. and its Singapore-based unit ZDATA Cloud Technology Pte. Ltd., have received approval for a 9.09 billion baht investment in a data center project with an IT load of 80MW to be located in the Amata City Chonburi Industrial Estate, Chonburi Province.
ZDATA is a leading provider of integrated data center and cloud computing services currently operating more than 30 data centers in China, Hong Kong, and Malaysia.
This is the company’s second project application to be approved by the BOI.
NextGen Data Center and Cloud Services Co., Ltd., a subsidiary of Dubai-based DAMAC Digital, which is a major data center service provider in the Middle East, have also received approval for a 26.7 billion baht investment in a data center project with an IT load of 84 MW, to be located in the Navanakorn Industrial Estate, Pathum Thani Province.
The hyperscale-class data center, with a maximum power capacity of 140 kW per server cabinet, will support the development and application of artificial intelligence (AI).
Zenith Data Center and Cloud Services Co., Ltd., a related company, have also received approval for a 54.9 billion baht investment in a hyperscale data center project with an IT load of 200MW, which will also be established in the Navanakorn Industrial Estate, Pathum Thani Province.
The board has also approved adjustments to the promotion conditions for data center investments to ensure efficient resource utilization and to encourage the transfer of technology and expertise to Thai personnel.
Under the revised requirements, investments in data centers outside the EEC area will be eligible for more incentives to encourage investment in those regions.
Other conditions for data center promotion include requirements related to data center construction and service standards, the Power Usage Effectiveness (PUE), and efficient water management measures.
Projects are also required to submit a plan that creates tangible benefits to Thailand, such as providing training, developing joint curriculum with educational institutions, conducting research and development, enhancing the skills of Thai small and medium-sized enterprises (SMEs), or supporting the domestic supply chain.
The proposed plan must be fully implemented before the project can exercise its corporate income tax (CIT) exemption benefits, said BOI.
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