Digital Realty, the largest global provider of carrier- and cloud-neutral data center, colocation and interconnection solutions, has announced the official opening of Digital Realty Kin Chuen (HKG11), its second data center in Hong Kong, China. The multi-story facility spans 21,000 square meters and can deliver up to 24 megawatts of critical IT capacity.
Strategically located in Kwai Chung, Hong Kong’s developing data center cluster, HKG11 is designed to support the development of Hong Kong as a data hub on PlatformDIGITAL® – Digital Realty’s first of its kind global data centre platform for scaling digital business – and drive the adoption of cloud computing services and solutions in the region.
HKG11 offers enterprises superior connectivity with direct on-net access to key carriers’ fiber networks. The carrier-neutral campus will form a key building block in the development of the industry’s largest open fabric of fabrics, which allows enterprises to expand their connectivity ecosystem and access a rich connected data community on PlatformDIGITAL® with over 4,000 participants in 47 metros across 24 countries.
The new development will see the formation of a new era of open, secure and dynamically connected data communities in major hubs around the world to unlock opportunities and trapped value in digital business, as outlined in Digital Realty’s industry manifesto for open interconnection earlier this year. The collaborative approach with the industry aims to remove legacy barriers to digital transformation by more closely aligning with the hybrid IT and security considerations of multinational enterprises.
“Hong Kong is an international financial and trade hub in the region and represents a key connectivity gateway between Asia Pacific and the rest of the world for global enterprises. The opening of our second data center in Hong Kong today is set to deliver greater coverage, capacity and connectivity capabilities to meet the growing demand from enterprises looking to scale their digital footprint across Asia Pacific and beyond,” says A. William Stein, Chief Executive Officer, Digital Realty.
According to Structure Research, the Hong Kong data center market is currently worth USD$1.4 billion and is projected to grow at a five-year compound annual growth rate (CAGR) of 11% to reach USD$2.5billion in 2026. The fast-rising data center demand comes as the Hong Kong government ramps up its digital capabilities, through investment in 5G network, cloud computing, big data analytics technologies and more.
This is in line with Digital Realty’s Data Gravity Index DGx™ which projects that Asia Pacific is expected to generate the fastest growth across 53 metros globally by 2024. Hong Kong, driven by its large amounts of data creation as a major financial center in the region, is poised to see accelerated growth in its data gravity intensity at a CAGR of 177% through 2024.
Digital Realty’s Data Gravity Index DGx™ projects that Asia Pacific is expected to generate the fastest growth globally by 2024. Hong Kong, driven by its large amounts of data creation as a major financial center in the region, is poised to see accelerated growth in its data gravity intensity at a CAGR of 177% through 2024.
“We can expect the volume of data exchange and corresponding demand for data center services in Hong Kong to continue its upward trajectory over the next few years. Our new facility today comes at an opportune moment and will go a long way towards supporting the digital aspirations of our customers in China, the broader Asia Pacific region and globally,” says Mark Smith, Managing Director for Digital Realty APAC.
“Hong Kong as an international business hub has a sophisticated high-tech infrastructure, tech professionals, reliable power supply, and robust enforcement of data privacy and security. It is an ideal location for data center operators, like Digital Realty, to expand in the region,” says Charles Ng, Associate Director-General of Investment Promotion, Invest Hong Kong, who also congratulated Digital Realty for the opening of HKG11.