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Hong Kong Data Centre Landscape Report 2021-2025: A Data Centre Hub into China, with Chinese Companies and MNCs Seeking to Gain Access into the Chinese Market Based in the TerritoryDUBLIN, June 30, 2021 /PRNewswire/ -- The "Hong Kong: Data Centre Landscape - 2021 to 2025" report has been added to ResearchAndMarkets.com's offering. The Hong Kong Data Centre market has established itself as a Data Centre hub into China, with Chinese companies and MNCs seeking to gain access into the Chinese market based in the territory, there are just under 50 facilities in Hong Kong. The "China-ification" of the Hong Kong economy is also being applied to the Data Centre segment - There is a large amount of Chinese-funded investment flooding into Hong Kong, into the stock market, land and other asset purchases. This is also starting to have an impact on the Hong Kong Data Centre market, particularly where land costs remain at a premium with development land in short supply. Hong Kong is unique in Asia with the size of the financial services segment in Data Centres - Hong Kong has a large financial services segment, which ties with the cloud segment as the largest Hong Kong customer segment - with up to 30 percent of Hong Kong Data Centre customers from financial services. The Hong Kong market is similar to the London Data Centre market in the dominance of the financial services segment - and is ahead of Singapore - but is behind New York as a percentage of Data Centre customers. The Hong Kong financial services segment is also growing its online presence with a number of virtual licenced banks launching services, which is supporting the local Data Centre market. Hong Kong also has a shortage of land for future Data Centre development - The cost of land in Hong Kong is a problem for future Data Centre development, with auctions facing competition from property companies buying land for housing or hotel development. Unlike Singapore, the Hong Kong Government has not recently reserved new space for Data Centre development - when previously Government-owned land in TKO was reserved for Data Centres (including Global Switch, NTT, i-advantage and Telehouse). The cost of land means that Hong Kong Data Centre pricing will also continue to be high. Hong Kong is competing with Singapore as the key Data Centre hub in Asia - Overall Hong Kong has over 285,000 m2 of 3rd party Data Centre space available as of the end of 2020 - with Singapore having around 400,000 m2 of 3rd party Data Centre space. In essence Singapore has established itself as a Data Centre hub in the Asia Pacific region - and Hong Kong has established itself as a gateway for Chinese investment for the rest of Asia. The three largest Data Centre Providers in Hong Kong include i-advantage, PCCW Solutions & Equinix - Collectively the three largest Hong Kong Data Centre Providers (i-advantage, PCCW Solutions & Equinix) account for 38 percent of total space in the territory - with i-advantage building two new Data Centre facilities to almost double its overall footprint in Hong Kong over the next two years to 2023. The Hong Kong Data Centre market is due to change with the introduction of new facilities from i-advantage, GDS Holdings and China Mobile. Recent new entrants to the Data Centre market include Air Trunk, NTT Ltd & Global Switch. Over time, Data Centre growth in Hong Kong is likely to become closely linked to developments in the surrounding Greater Bay Area (GBA), where costs are lower with land in greater supply. Hong Kong has a large and dynamic Data Centre market - The Hong Kong market continues to attract new investment from Data Centre Providers with new facilities to be introduced by Air Trunk, China Mobile, Digital Realty, GDS Holdings & i-advantage, even though there is a shortage of land for future Data Centre development. For more information about this report visit https://www.researchandmarkets.com/r/hport1 Media Contact: Research and Markets SOURCE Research and Markets |