Vietnam’s Data Centre Real Estate Market Attracts Billion-Dollar Capital Amid AI-Driven Growth

Vietnam is attracting significant global capital into data centre real estate, a trend fuelled by the rapid adoption of artificial intelligence (AI), rising cloud computing demand, and investor appetite for digital infrastructure assets. Ho Chi Minh City in particular is emerging as a strategic hub for large-scale projects backed by international and domestic partners

Driven by a mix of AI use cases and long-term structural demand, this burgeoning sector is gaining traction among major investors — reshaping the real estate investment landscape in Vietnam and underscoring the country’s potential as a regional digital infrastructure gateway.

Why Data Centre Real Estate Is the Next Strategic Asset Class

Vietnam’s data centre real estate market is still in its early phases compared with mature regional markets, yet the pace of development is rapidly accelerating. According to industry research, Vietnam’s data centre market was valued at around US $654 million in 2024 and is projected to expand significantly by 2030.

This expansion is supported by several key demand drivers:

• AI and Cloud Adoption: Enterprises across sectors are increasing their reliance on AI and cloud services, boosting demand for hyperscale and colocation facilities.
• Improved Digital Connectivity: Growth in internet penetration, digital transformation initiatives, and enterprise data needs are driving capacity requirements
• Cost and Competitive Advantage: Vietnam’s relatively low construction cost per Watt gives the market a competitive edge in the Asia-Pacific region.

Major Projects and Investment Flows

A wave of high-profile data centre investments is underway in Ho Chi Minh City, reflecting burgeoning investor interest and strong growth potential:

• AI-Enabled Hyperscale Data Centre: A partnership between Kinh Bac City Development Holding Corporation, Accelerated Infrastructure Capital (AIC), and VietinBank is developing an AI-ready data centre complex on a 10-hectare plot at Tan Phu Trung Industrial Park, offering strategic advantages in power, telecom, and logistics connectivity.
• Global Investor Consortium: A dedicated task force has been established to support investment procedures for a US $2 billion hyperscale data centre project led by a consortium including UAE-based G42, Microsoft, FPT Corporation, VinaCapital, and Viet Thai Group.
• Domestic Tech Players: Local industry giants like Viettel Group and CMC Technology Group are investing in high-tech data centre infrastructure — including large-capacity facilities compliant with international standards — positioning Vietnam for advanced computing and digital services.
• Emerging Campus Developments: Evolution Data Centres is preparing a major hyperscale campus project at Saigon Hi-Tech Park, backed by half-a-billion dollars in committed capital.

Investor Confidence and Market Fundamentals

Industry reports underline the growing appeal of data centres as a real estate asset class:

• Alternate Asset Preference: According to the CBRE Asia-Pacific Investor Intentions Survey 2025, data centres have risen to become a top alternative asset class for investors seeking exposure to digital infrastructure.
• Global Capacity Growth: The JLL Global Data Centre Outlook 2026 forecasts that total data centre operational capacity globally could nearly double from 103 GW to 200 GW by 2030, driven by AI workloads that may account for as much as half of all capacity.
• Structural Investment Cycle: Analysts estimate the global data centre sector will require trillions in investment over the next five years — a signal that digital infrastructure is entering an unprecedented supercycle of growth.

For Vietnam, this translates into long-term capital commitments and sustainable demand support — important factors that underpin investor confidence and sector stability.

Broader Implications for Electronics and High-Tech Sectors

Emerging Opportunities

• Regional Digital Hub Potential: As data centre capacity grows, Vietnam — particularly Ho Chi Minh City — could emerge as a key digital hub linking Southeast Asia’s enterprise and cloud ecosystems.
• Foreign Investment Expansion: Lower construction costs and a proactive regulatory environment are helping to attract diversified foreign capital into the technology and real estate space.
• Tech-Driven Talent and Infrastructure: Vietnam’s expanding tech talent pool and increasing emphasis on digital workflows position it well for next-generation infrastructure demand.

Key Challenges

• Infrastructure Scaling: Ensuring sufficient power, connectivity, and regulatory frameworks to support hyperscale facilities remains critical.
• Regulatory Alignment: Streamlining processes for approvals and land use coordination will be essential as project complexity increases.

For investors seeking to capture opportunities, Core5 Vietnam provides more than facilities , we are your strategic partner in long-term success.

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