Data Centers in Singapore

Singapore – Premier Digital Hub for Southeast Asia

Executive Summary

Singapore is the undisputed digital gateway to Southeast Asia, offering unparalleled connectivity and stability for enterprises targeting the region's high-growth markets. Its dense ecosystem of carriers, cloud providers, and data centers provides the low-latency infrastructure essential for driving revenue and ensuring uptime. For businesses that require a secure, high-performance anchor in Asia, Singapore is the top-tier choice.

Singapore: At A Glance

Network & Connectivity Ecosystem

Singapore’s world-class connectivity is its defining feature. The island nation serves as the primary interconnection point for Southeast Asia, with a mature and highly competitive market.

Carrier Density & Carrier Neutrality: The market supports over 85 unique network providers as of September 2025. A strong culture of carrier neutrality in major colocation facilities ensures competitive pricing and diverse routing options.

Direct Cloud On-Ramps: With 8 dedicated on-ramps serving 11 cloud regions as of September 2025, Singapore offers extensive direct access to major hyperscalers. Available providers include Alibaba Cloud, AWS, Google Cloud (GCP), Microsoft Azure, IBM Cloud, and Oracle Cloud, enabling secure, high-performance hybrid cloud architectures.

Internet Exchange Points (IXPs): The Singapore Internet Exchange (SGIX) is the nation's primary peering point, facilitating efficient traffic exchange between a vast number of regional and global networks. This reduces latency and improves performance for users across Southeast Asia.

Bare Metal: Bare metal cloud services are widely available from multiple providers. Global suppliers like Hivelocity and phoenixNAP offer dedicated servers, providing a strong option for performance-sensitive workloads requiring direct hardware access.

Power Analysis

The power infrastructure in Singapore is reliable and engineered to support high-density data center operations, though costs can be higher than in other regional markets.

Average Cost Of Power: Industrial electricity prices are dynamic and reflect the country's reliance on imported natural gas. As of September 2025, the power grid is approximately 95% gas-powered. This reliance on global energy markets means costs can fluctuate, impacting total operational expenses.

Power Grid Reliability: The grid is exceptionally stable and well-maintained, with redundant substations and distribution paths serving the key data center clusters in Jurong East and the Tai Seng industrial area. This high degree of reliability minimizes the risk of utility power failures.

Market Access, Business & Tax Climate

Singapore offers a pro-business environment with excellent access to both local and regional markets.

Proximity To Key Business Districts: Data centers are strategically located near major business and financial districts. This proximity provides low-latency connectivity for financial services, technology companies, and enterprise customers concentrated in the central business district.

Regional Market Reach: Singapore is the ideal hub for serving the entire Southeast Asian market, a region with over 680 million people. Its central location and superior network infrastructure provide the lowest possible latency to emerging economies like Indonesia, Malaysia, Vietnam, and Thailand.

Tax Advantage For Data Centers: While Singapore does not offer specific tax holidays for data center operations, it provides a general incentive by exempting import duties on machinery and raw materials used for research and development. This can help reduce the initial capital expenditure for companies establishing significant R&D-focused IT infrastructure.

Natural Disaster Risk

Singapore's location makes it one of the safest places in the world to locate a data center, with an overall INFORM Risk score of 0.6, rated as "Very Low" as of September 2025. The country is sheltered from the severe natural disasters that affect many other parts of Asia.

Key risk factors are minimal and well-managed:

• Epidemic: The highest-rated risk factor, reflecting the potential challenges of a global hub.
• Coastal Flood: A minor risk managed through advanced civil engineering and coastal defenses.
• Earthquake: Negligible seismic activity.
• Tropical Cyclone: Located outside the Pacific typhoon belt, posing no direct threat.