Google eyes hyperscale data center Investment in Vietnam

• Published On: 29 August 2024 at 18:30

Google, a subsidiary of Alphabet, is reportedly considering a significant investment in Vietnam to establish a hyperscale data center, marking the country's first major venture of its kind by a leading US technology company.

According to a source familiar with the matter, Google is looking into building a data center near Ho Chi Minh City to capitalize on the strategic advantages of Vietnam's southern economic hub.

While the exact size of the investment is unknown, it is expected to provide a significant boost to Vietnam's technology sector, according to WMedia.

Despite Vietnam's rapidly expanding digital economy, the country has traditionally lagged behind its regional peers in attracting large-scale data center investments, owing primarily to infrastructure constraints.

Google's potential move would represent a significant shift, in line with the growing demand for cloud services from both domestic and international customers.

Vietnam's digital transformation, aided in part by the popularity of Google platforms such as YouTube, has cemented the country's status as a key market for the tech giant.

According to Reuters, Google has not officially commented on the plans, but sources say internal discussions are ongoing, and the data center could be operational by 2027.

This development emphasizes Vietnam's growing importance as a digital hub in Southeast Asia and reflects Google's belief in the region's future growth potential.