News roundup: Asia’s data centre landscape increasing in demand and complexity, plus more news

For PropertyGuru’s real estate news roundup, Asia’s data center landscape is seeing an increase in demand as well as an increase in complexity. In other news, Western Sydney is set to receive a half-a-billion-dollar shot in the arm as US retail behemoth Amazon plans to build two new massive centres in Horsley Park. And examine the contrasting demand and supply trends in Q1 2024 in India’s Bengaluru residential market to navigate its fluctuating dynamics.

Asia’s data center landscape is red hot – and increasingly complex

The rise of artificial intelligence is fueling massive demand for data centers in Asia, but multinational companies face a dilemma when it comes to settling on locations for them. From an economic point of view, it makes sense to build a consolidated facility in one country that can serve multiple markets – but governments in the region are increasingly restricting cross-border data flows.

Nikkei Asia reports that China and Vietnam in particular have tightened their data regulations in the name of national security. Although China’s top internet regulator in September proposed waiving data export security assessments for certain activities that do not involve personal information or “important data,” it did not say what qualifies as “important data.” This lack of clarity has raised concerns among global businesses about what might happen if they try to transfer data out of the country.

Meanwhile, Vietnam’s first consolidated Personal Data Protection Decree (PDPD) took effect in July. It requires companies to prepare an impact assessment if they wish to transfer the personal data of Vietnamese citizens abroad.

“Through August of [2023], we were scrambling to help clients navigate Vietnam’s new security assessment process, which appears to have drawn some inspiration from China’s similar process,” said Mark Parsons, a Hong Kong-based lawyer who heads Hogan Lovells’ Asia-Pacific region regulatory practice. “We expect to see this critical dialogue continue in 2024.”

Amazon’s huge fulfilment centres to speed up deliveries of large devices and furniture in Australia

Western Sydney is set to receive a half-a-billion-dollar shot in the arm as tech giants and property developers team up to build fulfilment centres as large as Barangaroo Reserve.

According to realcommercial.com.au, US retail behemoth Amazon plans two new centres, one more than four times the size of the Sydney Opera House, in Horsley Park, about 39km from the Sydney CBD. The second centre will be as large as four-and-a-half rugby league fields.

The new centres will increase the speed at which Amazon can deliver larger tech devices including TVs as well as furniture across Australia.

Amazon said the centres, which it plans to complete and have operational by early 2026, will create about 1000 jobs with “competitive pay”.

The facilities will also include an operations centre, a human resources department, an IT department, engineering teams, health and safety teams, and a training centre for new staff and upskilling.

Amazon said it will need just shy of 1100 staff to operate both centres, and it has promised major perks to staff who join the new facilities including subsidised private healthcare and five months of maternity pay.

India’s Bengaluru residential market trends Q1 2024: Examining the fluctuating market dynamics – what you need to know

Bengaluru, known for its vibrant IT sector with a plethora of established tech companies and emerging startups, has experienced significant economic and real estate development. This city in India has undergone remarkable changes, drawing considerable attention to its thriving residential property market. Presently, Bengaluru stands out not just as a top choice for IT professionals but also as an appealing option for those looking to invest in real estate.

Housing.com examines the contrasting demand and supply trends in the first quarter of 2024, allowing stakeholders to navigate carefully amidst such fluctuating dynamics in the market.

The Property Report editors wrote this article. For more information, email: [email protected].