Tech

Singapore and Silicon Valley tie for second place in rating of prime information centre markets

SINGAPORE – Singapore has climbed up within the league of prime markets for information centres, tying with the US’ Silicon Valley area for second place, out of 55 markets.

Actual property consultancy Cushman & Wakefield’s 2022 International Information Centre Market Comparability report, launched on Jan 25, scored Singapore extremely on key standards corresponding to market measurement, fibre connectivity and availability of cloud companies.

It additionally recognised the Republic’s pro-business insurance policies, corresponding to low tax charges.

Northern Virginia, the world’s largest information centre market, took the highest spot for the third yr working.

Final yr’s iteration of the rating positioned Singapore fifth out of 48 markets.

The Republic is now the top-ranked marketplace for information centres within the Asia-Pacific, forward of Hong Kong, which ranks sixth, and Sydney, which slips from third final yr to eighth.

Information centres are utilized by organisations to retailer, course of and transmit giant quantities of information.

Over the previous 20 years, Singapore has made nice strides in establishing itself as a hub, leveraging its robust fibre broadband connectivity and strategic location.

Based on the Speedtest International Index by Ookla, Singapore has the very best median mounted broadband velocity on this planet. It is usually the touchdown website for a dense community of undersea cables connecting it to different elements of Asia, Europe and Africa, in addition to Australia and the US.

A change in Cushman & Wakefield’s methodology for scoring markets on fibre connectivity partly accounts for Singapore’s leap within the rankings. Earlier stories had seemed solely at community density, whereas this yr’s adopted the Speedtest International Index as a measure of total broadband velocity and efficiency.

The Covid-19 pandemic and ensuing acceleration of digitalisation traits have inflated demand for information centres over the previous two years.

Many main multinational companies have flocked to Singapore to faucet that demand. US operator Digital Realty has invested about US$1 billion (S$1.4 billion) to open three information centres since 2010.

Google has three Singapore information centres. Since 2011, the tech big has invested about US$850 million in such centres right here.

Final yr, American digital infrastructure agency Equinix opened its fifth information centre right here for US$144 million.

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