MANILA, Philippines — Two of the country’s biggest conglomerates are betting on the growing data center business.
Aboitiz InfraCapital Inc. (AIC), the infrastructure arm of the Aboitiz Group, is making its foray into the data center business through a partnership with US-based EdgeConneX (ECX), the pioneer in global hyperlocal to hyperscale data center solutions.
The joint venture aims to address the rising data usage in the Philippines by developing a data center platform that will house cloud service providers’ information technology (IT) equipment, enabling them to better support the Philippine market.
The initial data center will be located in proximity to the National Capital Region and a secondary hyperscale campus is planned to be located in the Greater Manila Area.
The partnership will pave the way for the development of hyperscale data centers across the Philippines.
Hyperscale data centers are massive business-critical facilities designed to efficiently support robust, scalable applications of cloud service providers.
“Businesses are increasingly turning to cloud service providers – or “hyperscalers” – for cost efficiency, flexibility, and scalability; and thus the need for data centers has never been more demanding. This trend will continue with certainty and speed, and our efforts to seize the opportunities it offers have been proven successful with this latest landmark infrastructure deal for the Aboitiz Group,” said Sabin Aboitiz, president and CEO of the Aboitiz Group.
Another conglomerate, the Ayala Group, through AyalaLand Logistics Holdings Corp., said its joint venture with FLOW Digital Infrastructure would commence.
The joint venture will deliver its first data center facility in a hyperscale campus, which is aligned to provide total IT capacity of 36 megwawatts (MW) and expand via modular employment. The initial rollout of 6 MW is targeted to be ready-for-service by the end of 2024.
FLOW was launched in 2021 by PAG, a leading alternative investment firm focused on the Asia Pacific with $50 billion in assets under management, including $2 billion in data center assets.
The joint venture is pursuant to FLOW’s ongoing Asia-Pacific expansion, leveraging the team’s industry leading design, development, and operation expertise in next-generation data centers.
ALLHC is present in at least six growth areas nationwide through its industrial parks, warehouses, cold storage facilities, and commercial leasing.
Among its developments are the Laguna Technopark, Pampanga Technopark, Cavite Technopark, Laguindingan Technopark in Misamis Oriental. Its ALogis standard factory buildings are located in Biñan and Calamba, Laguna; Naic in Cavite; Porac, Pampanga; Sto. Tomas, Batangas, and Manila, complemented by the ALogis Artico cold storage facilities in Biñan, Laguna. Its commercial leasing portfolio comprises Tutuban Center in Manila and South Park Center in Muntinlupa City.