Latest news with #GlobalDataCentresReport
The Advertiser
07-07-2025
- Business
- The Advertiser
Artificial intelligence could actually bring about an investment boom for regional Australia
There's a big leap under way in Australia's digital transformation and it's happening far from the skyscrapers of the major cities, instead humming away in the paddocks, plains, and proud communities of regional Australia. While major cities like Sydney, Melbourne and Brisbane have already established data centre infrastructures, a lack of available space means regional Australia is emerging as the new frontier of this burgeoning sector, with companies looking further afield - to places like Bendigo, Dubbo, Ballarat, and Townsville. This is a win for regional communities because it will not only improve local telecommunications networks with faster internet and improved reliability and energy infrastructure, but will also create jobs. From electricians, engineers, and construction workers to IT technicians and security personnel, these facilities will support a range of employment opportunities and offer new pathways for young people to gain digital skills and stay in their communities rather than migrate to the cities. There's a boost for regional businesses too, improving reliability for cloud services particularly in the agriculture and health sectors which are increasingly reliant on digital platforms such as telehealth. Australia is already home to more than 250 data centres with 27 located in regional areas and that figure is set to increase significantly within the next decade. If your town is one of the 27 which already exist, chances are you don't even realise, because the nondescript buildings just look like an ordinary office space or warehouse. Only these ones house a group of networked computer servers used by organisations for the remote storage and processing of large amounts of data. Australia has a high per capita data consumption, ranking among the top in the world with consumers averaging around 361GB per month and the rapid advancement of AI, from large language models to generative applications, is driving unprecedented growth in data processing and storage needs. As more of us use AI, there's a capacity crisis for data storage centers, pushing them to evolve in scale, efficiency, and technology. According to Knight Frank's 2025 Global Data Centres Report, Australia has become the second-largest destination for data centre investment with a projected annual growth rate around 20 per cent until 2030. Big businesses are investing huge amounts of money and resources into regional parts of the country with demand increasing tenfold as the nation's data centre market experiences unprecedented growth. Particularly towns in Renewable Energy Zones (REZs), are becoming prime locations for these developments as the increasing use of AI spurs demand and developers tap into reliable energy sites and affordable land. Land suitable for data centres can be worth 150 per cent to 200 per cent more than its usual market value, often found in commercial areas, old warehouses and industrial sheds that can be transformed. Once operational, data centres can be valued up to 20 times more than traditional commercial properties due to their role in supporting digital economies. Decentralising digital infrastructure away from the cities will not only build resilience on the network but will put regional communities which have long been on the periphery of economic and technological progress on the digital map. There's a big leap under way in Australia's digital transformation and it's happening far from the skyscrapers of the major cities, instead humming away in the paddocks, plains, and proud communities of regional Australia. While major cities like Sydney, Melbourne and Brisbane have already established data centre infrastructures, a lack of available space means regional Australia is emerging as the new frontier of this burgeoning sector, with companies looking further afield - to places like Bendigo, Dubbo, Ballarat, and Townsville. This is a win for regional communities because it will not only improve local telecommunications networks with faster internet and improved reliability and energy infrastructure, but will also create jobs. From electricians, engineers, and construction workers to IT technicians and security personnel, these facilities will support a range of employment opportunities and offer new pathways for young people to gain digital skills and stay in their communities rather than migrate to the cities. There's a boost for regional businesses too, improving reliability for cloud services particularly in the agriculture and health sectors which are increasingly reliant on digital platforms such as telehealth. Australia is already home to more than 250 data centres with 27 located in regional areas and that figure is set to increase significantly within the next decade. If your town is one of the 27 which already exist, chances are you don't even realise, because the nondescript buildings just look like an ordinary office space or warehouse. Only these ones house a group of networked computer servers used by organisations for the remote storage and processing of large amounts of data. Australia has a high per capita data consumption, ranking among the top in the world with consumers averaging around 361GB per month and the rapid advancement of AI, from large language models to generative applications, is driving unprecedented growth in data processing and storage needs. As more of us use AI, there's a capacity crisis for data storage centers, pushing them to evolve in scale, efficiency, and technology. According to Knight Frank's 2025 Global Data Centres Report, Australia has become the second-largest destination for data centre investment with a projected annual growth rate around 20 per cent until 2030. Big businesses are investing huge amounts of money and resources into regional parts of the country with demand increasing tenfold as the nation's data centre market experiences unprecedented growth. Particularly towns in Renewable Energy Zones (REZs), are becoming prime locations for these developments as the increasing use of AI spurs demand and developers tap into reliable energy sites and affordable land. Land suitable for data centres can be worth 150 per cent to 200 per cent more than its usual market value, often found in commercial areas, old warehouses and industrial sheds that can be transformed. Once operational, data centres can be valued up to 20 times more than traditional commercial properties due to their role in supporting digital economies. Decentralising digital infrastructure away from the cities will not only build resilience on the network but will put regional communities which have long been on the periphery of economic and technological progress on the digital map. There's a big leap under way in Australia's digital transformation and it's happening far from the skyscrapers of the major cities, instead humming away in the paddocks, plains, and proud communities of regional Australia. While major cities like Sydney, Melbourne and Brisbane have already established data centre infrastructures, a lack of available space means regional Australia is emerging as the new frontier of this burgeoning sector, with companies looking further afield - to places like Bendigo, Dubbo, Ballarat, and Townsville. This is a win for regional communities because it will not only improve local telecommunications networks with faster internet and improved reliability and energy infrastructure, but will also create jobs. From electricians, engineers, and construction workers to IT technicians and security personnel, these facilities will support a range of employment opportunities and offer new pathways for young people to gain digital skills and stay in their communities rather than migrate to the cities. There's a boost for regional businesses too, improving reliability for cloud services particularly in the agriculture and health sectors which are increasingly reliant on digital platforms such as telehealth. Australia is already home to more than 250 data centres with 27 located in regional areas and that figure is set to increase significantly within the next decade. If your town is one of the 27 which already exist, chances are you don't even realise, because the nondescript buildings just look like an ordinary office space or warehouse. Only these ones house a group of networked computer servers used by organisations for the remote storage and processing of large amounts of data. Australia has a high per capita data consumption, ranking among the top in the world with consumers averaging around 361GB per month and the rapid advancement of AI, from large language models to generative applications, is driving unprecedented growth in data processing and storage needs. As more of us use AI, there's a capacity crisis for data storage centers, pushing them to evolve in scale, efficiency, and technology. According to Knight Frank's 2025 Global Data Centres Report, Australia has become the second-largest destination for data centre investment with a projected annual growth rate around 20 per cent until 2030. Big businesses are investing huge amounts of money and resources into regional parts of the country with demand increasing tenfold as the nation's data centre market experiences unprecedented growth. Particularly towns in Renewable Energy Zones (REZs), are becoming prime locations for these developments as the increasing use of AI spurs demand and developers tap into reliable energy sites and affordable land. Land suitable for data centres can be worth 150 per cent to 200 per cent more than its usual market value, often found in commercial areas, old warehouses and industrial sheds that can be transformed. Once operational, data centres can be valued up to 20 times more than traditional commercial properties due to their role in supporting digital economies. Decentralising digital infrastructure away from the cities will not only build resilience on the network but will put regional communities which have long been on the periphery of economic and technological progress on the digital map. There's a big leap under way in Australia's digital transformation and it's happening far from the skyscrapers of the major cities, instead humming away in the paddocks, plains, and proud communities of regional Australia. While major cities like Sydney, Melbourne and Brisbane have already established data centre infrastructures, a lack of available space means regional Australia is emerging as the new frontier of this burgeoning sector, with companies looking further afield - to places like Bendigo, Dubbo, Ballarat, and Townsville. This is a win for regional communities because it will not only improve local telecommunications networks with faster internet and improved reliability and energy infrastructure, but will also create jobs. From electricians, engineers, and construction workers to IT technicians and security personnel, these facilities will support a range of employment opportunities and offer new pathways for young people to gain digital skills and stay in their communities rather than migrate to the cities. There's a boost for regional businesses too, improving reliability for cloud services particularly in the agriculture and health sectors which are increasingly reliant on digital platforms such as telehealth. Australia is already home to more than 250 data centres with 27 located in regional areas and that figure is set to increase significantly within the next decade. If your town is one of the 27 which already exist, chances are you don't even realise, because the nondescript buildings just look like an ordinary office space or warehouse. Only these ones house a group of networked computer servers used by organisations for the remote storage and processing of large amounts of data. Australia has a high per capita data consumption, ranking among the top in the world with consumers averaging around 361GB per month and the rapid advancement of AI, from large language models to generative applications, is driving unprecedented growth in data processing and storage needs. As more of us use AI, there's a capacity crisis for data storage centers, pushing them to evolve in scale, efficiency, and technology. According to Knight Frank's 2025 Global Data Centres Report, Australia has become the second-largest destination for data centre investment with a projected annual growth rate around 20 per cent until 2030. Big businesses are investing huge amounts of money and resources into regional parts of the country with demand increasing tenfold as the nation's data centre market experiences unprecedented growth. Particularly towns in Renewable Energy Zones (REZs), are becoming prime locations for these developments as the increasing use of AI spurs demand and developers tap into reliable energy sites and affordable land. Land suitable for data centres can be worth 150 per cent to 200 per cent more than its usual market value, often found in commercial areas, old warehouses and industrial sheds that can be transformed. Once operational, data centres can be valued up to 20 times more than traditional commercial properties due to their role in supporting digital economies. Decentralising digital infrastructure away from the cities will not only build resilience on the network but will put regional communities which have long been on the periphery of economic and technological progress on the digital map.
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Business Standard
05-05-2025
- Business
- Business Standard
Princeton Digital seals Rs 125 cr annual lease deal in Navi Mumbai's Airoli
Singapore-based Princeton Digital Group (PDG), Asia's leading data centre provider, has taken on lease over 1 million sq. ft. of space across three buildings in the Airoli Knowledge Park, Navi Mumbai—marking a major expansion of its digital infrastructure footprint in India. The properties, owned and sub-leased by Gigaplex Estate Pvt Ltd, will be used by Princeton Digital Group (PDG) to set up large-scale data center operations. The transaction spans three buildings—9A, 7, and 11—located on Plot No. IT-5, with a combined chargeable area of 10,58,568 sq. ft, according to property documents accesed by CRE Matrix, a real estate analytics firm. Lease details: Effective Rent Rate: Rs 98.50 per sq. ft. across all buildings Lease Period: 20 years for Buildings 9A & 7, and 40 years for Building 11 Lock-In Period: 15 years Annual Rent Escalation: 4% for the first 15 years, increasing to 5% thereafter In addition to the base rent, parking charges of Rs 5,000 per car per month and complex maintenance charges of ₹2 per sq. ft. (with 5% annual escalation) will apply, further elevating the value of the deal. With a total starting monthly rent of ₹10.42 crore, the first-year rent alone amounts to ₹125.04 crore, excluding other costs such as maintenance and parking. Given the 15-year lock-in and 20–40 year lease durations, the long-term financial commitment exceeds several thousand crores. This reflects Princeton Digital Group's confidence in India's digital growth trajectory and its intent to build out a large-scale hyperscale data center hub in Navi Mumbai. Last year, Princeton Digital Group unveiled a major growth plan for India by expanding capacity to a total of 230 MW in the country, driving an investment programme of $1 billion. This is part of PDG's new $5-billion investment programme for AI-ready data centres in Asia. In September 2024, Princeton Digital Group entered into a strategic partnership with K Raheja Corp-backed Mindspace Business Parks REIT to develop the formers' largest data center campus in India, at Mindspace Airoli West. Navi Mumbai has emerged as a leading hub for cloud infrastructure, driven by its strategic location near submarine cable landing stations, stable power supply with zero outage, availability of renewable energy, and robust infrastructure. Mumbai has emerged as one of the Asia-Pacific (APAC) region's most competitive data centre leasing markets, driven by AWS-led colocation growth. The city's data centre ecosystem is being transformed by Amazon Web Services (AWS), which is significantly scaling through large-scale colocation leases rather than self-builds, accelerating Mumbai's emergence as a regional data centre powerhouse, said the latest Knight Frank report titled 'Global Data Centres Report'.
