Data Centers in Yangon

Yangon – Developing Digital Hub for Myanmar

Yangon is an emerging market for digital infrastructure in Southeast Asia, serving businesses establishing a presence in Myanmar. For companies targeting the local population, deploying infrastructure here is essential for minimizing latency and improving user experience, directly impacting service delivery and customer satisfaction.

Yangon: At A Glance

Network & Connectivity Ecosystem

Yangon's connectivity landscape is developing, with foundational infrastructure in place. The market features 7 data center facilities operated by 2 distinct providers, as of September 2025.

Carrier Density & Carrier Neutrality: Carrier density is limited but growing. The market has a small number of providers, indicating that most facilities offer access to the primary national carriers. True carrier-neutral facilities are not yet common.

Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Yangon, as of September 2025. Businesses requiring dedicated cloud access must connect to major regional hubs like Bangkok or Singapore via private network extensions.

Internet Exchange Points (IXPs): The primary exchange is the Myanmar Internet Exchange (MM-IX). It facilitates local traffic peering, which helps reduce latency for domestic users and lowers transit costs for participating networks.

Bare Metal: Bare metal server options are available, though less prevalent than in major regional hubs. Providers like OVHcloud and Leasebweb can offer services to the region, allowing businesses to deploy dedicated compute without capital expenditure.

Power Analysis

Average Cost Of Power: Industrial electricity costs are estimated to range from MMK 125.00 to MMK 150.00 per kWh, as of September 2025. This pricing is competitive for the region, but reliability can be a more significant factor for total cost of ownership. The national grid is primarily powered by renewables (~39%, mostly hydro) and fossil fuels (~61%).

Power Grid Reliability: The power grid in Yangon can experience inconsistencies. For this reason, data centers in the market are engineered with significant redundancy, including multiple backup generators, extensive UPS systems, and substantial on-site fuel storage to ensure continuous uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Yangon are situated to serve the city's central commercial districts. This proximity provides low-latency connectivity for financial services, media companies, and corporate offices headquartered in the economic capital of Myanmar.

Regional Market Reach: A presence in Yangon provides direct access to Myanmar's population of over 54 million people. It is the primary digital gateway for reaching consumers and businesses throughout the country.

Tax Advantage For Data Centers: The government offers tax incentives to attract investment, including a potential five-year exemption from corporate income tax. This benefit significantly lowers the financial barrier for companies establishing new digital infrastructure in the country.

Natural Disaster Risk

Yangon has a Very High overall risk profile, with a score of 7.0 out of 10, as of September 2025. The rating reflects significant exposure to both natural and human-related hazards, combined with institutional and infrastructure vulnerabilities.

Key natural hazards for the region include:

• River Flood: High risk (8.8/10)
• Tsunami: High risk (8.3/10) due to coastal proximity
• Earthquake: High risk (8.2/10)
• Coastal Flood: High risk (8.0/10)
• Tropical Cyclone: Moderate risk (5.8/10)

Organizations must ensure that data center facilities have specific and tested mitigation plans for seismic activity and severe weather events.