MANILA, Philippines — The Ayala Group will boost the capacity of its data centers by at least 5.2 megawatts by the third quarter to serve the rising demand caused by digital transformation.
ST Telemedia Global Data Centers (STT GDC) Philippines is set to grow the capacity of its data centers in Cavite, Makati City and Quezon City by the third quarter.
Once complete, the expansion will exceed the capacity of most single data centers in the country, allowing the three facilities to serve the near-term requirements of its clients.
STT GDC Philippines president Carlo Malana said the expansion forms part of plans to raise the capacity of data centers operating within and nearby Metro Manila. STT GDC Philippines wants to become one of the largest colocation providers in the country in the long run.
Likewise, the firm seeks to support the government in its bid to speed up digital transformation. Data centers act as warehouses for everything uploaded online, making them crucial in a country digitalizing its processes and transactions.
“The ever-growing demand for digital services has underscored the necessity for private firms to actively contribute to the nation’s digital transformation,” Malana said.
“As part of STT GDC Philippines’ growth strategy to support the country’s digital infrastructure build, this capacity expansion is part of the commitment made to support government endeavors in delivering reliable and robust digital infrastructure for Filipinos,” he said.
At present, STT GDC Philippines operates five data centers with a total capacity of 22 MW, with 95 percent of their power coming from renewable sources.
Down the line, the firm plans to raise its capacity to attract hyperscale investors to locate some of their data sites in the Philippines. Hyperscalers refer to tech giants like Google that are always on the lookout for colocation spaces where they can store their data.
In May, STT GDC Philippines started the construction for a $1-billion data center in Quezon City set to become the largest of its kind in the country. Once built, it will run with an initial capacity of 25 MW, but it can be increased to as much as 124 MW.
Based on estimates, the data center industry in the country will expand by about 25 percent every year until 2027, injecting a boost not only to the economy, but also to employment.
STT GDC Philippines, a joint venture between Ayala Corp., Globe Telecom Inc. and STT GDC, was formed in 2022 through a $350 million agreement between the parties.