BANGKOK, OCT 1 – Google plans to invest US$1 billion to build digital infrastructure in Thailand, including a new data center, according to an announcement by the US technology giant.
The new hub in Bangkok and the Chonburi industrial area aims to help meet growing demand for cloud computing in Southeast Asia and will also create 14,000 job opportunities, the company said in a statement yesterday.
Google’s investment comes after Microsoft announced last May that it would create Thailand’s first data center region to boost cloud infrastructure and artificial intelligence (AI).
“This investment will empower Thai businesses, innovators and communities to harness the power of cloud and AI technology,” said Ruth Porat, president and chief investment officer of Google and its parent company Alphabet.
Details of the investment were announced after a Bangkok meeting between Porat and Thai Prime Minister Paetongtarn Shinawatra, who hailed the move as evidence of Thailand becoming a major digital hub in Southeast Asia.
The data center will be located in Chonburi, a major industrial area southeast of Bangkok, while the cloud facility will be in the capital itself.
Google’s expansion in Thailand will add US$4 billion to the government’s GDP by 2029 and support 14,000 jobs between 2025 and 2029, the company said, citing a report from consultancy Deloitte.
The announcement comes a year after Shinawatra’s predecessor Srettha Thavisin made a big push for investment from US tech giants during a visit to New York, seeking finance from Google, Microsoft and Elon Musk’s Tesla.
Thailand is the second largest economy in Southeast Asia, but its technology sector has lagged behind countries such as Singapore and Indonesia.
Thailand’s economy, long focused on traditional manufacturing, agriculture and tourism, has struggled to recover from the Covid-19 pandemic.
The Thai government hopes that investment from Google, Microsoft and the like will diversify and modernize the government’s economy.
Thailand’s Digital Economy and Society Commission office said the digital economy could contribute as much as 30 percent of GDP by 2027. – AFP
