Data Centers in Ho Chi Minh City

Ho Chi Minh City – Vietnam's Digital Economy Hub

Ho Chi Minh City is the primary gateway for businesses deploying digital infrastructure in Vietnam. The market offers a compelling balance of rapidly growing connectivity and competitive operational costs, making it the strategic choice for reaching one of Southeast Asia's most dynamic economies. This location is ideal for companies that need to serve the country's large domestic consumer base with low latency.

Ho Chi Minh City: At A Glance

Network & Connectivity Ecosystem

Ho Chi Minh City is Vietnam’s commercial center and its most connected city. With 11 data centers, the market provides a solid foundation for digital services.

Carrier Density & Carrier Neutrality: The market features over 5 unique network service providers as of September 2025. Carrier-neutral facilities are available, offering interconnection between local and international networks.

Direct Cloud On-Ramps: The city provides direct, low-latency access to one major cloud region as of September 2025. Alibaba Cloud maintains a local on-ramp, enabling hybrid cloud architectures. Other cloud providers can be reached via private network connections to regional hubs like Singapore.

Internet Exchange Points (IXPs): The Vietnam National Internet Exchange (VNIX) has a major node in Ho Chi Minh City. This IXP is critical for efficient local traffic exchange, reducing latency and transit costs for content and application providers.

Bare Metal: On-demand bare metal servers are available from multiple providers. Global suppliers like Hivelocity offer compute and storage solutions for workloads requiring dedicated hardware performance.

Power Analysis

Vietnam's power infrastructure is developing rapidly to meet the demands of its growing industrial and digital sectors.

Average Cost Of Power: Industrial electricity rates in Ho Chi Minh City range from approximately US$0.07 to US$0.10 per kWh as of September 2025. These competitive rates make the market attractive for energy-intensive compute operations. The national energy mix consists of 44% renewables and 56% fossil fuels.

Power Grid Reliability: The power grid in key commercial zones and industrial parks is well-engineered to support critical facilities. Data centers in the area are supported by redundant power feeds from multiple substations, ensuring high levels of uptime.

Market Access, Business & Tax Climate

Ho Chi Minh City is the undisputed economic engine of Vietnam, accounting for a significant portion of the country's GDP.

Proximity To Key Business Districts: Data centers are located with strategic access to the central business district (District 1), financial centers, and the Saigon Hi-Tech Park (SHTP). This proximity allows for low-latency connectivity to corporate headquarters, manufacturing facilities, and technology companies.

Regional Market Reach: The city serves as a crucial hub for the southern Vietnam region and provides a strategic entry point into the Greater Mekong Subregion, including Cambodia.

Tax Advantage For Data Centers: Vietnam does not offer specific tax incentives for data center development or operation. The primary financial advantage comes from the market's competitive operational costs and access to a large, fast-growing base of digital consumers.

Natural Disaster Risk

Based on a comprehensive risk assessment, the region has a moderate overall disaster risk profile, scoring 4 out of 10 as of September 2025.

The primary environmental threats are climate and weather-related, requiring careful facility selection and engineering. Key risks include:

• River Flood: High risk (9.9/10)
• Coastal Flood: High risk (9.6/10)
• Tropical Cyclone: Moderate risk (5.9/10)
• Tsunami: Moderate risk (5.9/10)