Group 1 - Pure Data Centres Group (Pure DC), backed by Oaktree, will invest over €1 billion ($1.17 billion) in developing a 78MW data centre campus in Westpoort, Amsterdam, which has been fully leased to a hyperscale customer, marking it as the largest stand-alone hyperscale data centre lease in Europe for the year [1][2] - The planned campus, named AMS01, will consist of three 85m towers, each housing 26MW of data halls, with construction scheduled to begin in January 2026 [2] - The data centre is designed to achieve a power usage effectiveness (PUE) of 1.2, aligning with Dutch energy efficiency targets [2][3] Group 2 - Pure DC CEO Dawn Childs highlighted Amsterdam as a constrained market for digital infrastructure, emphasizing the company's capability to provide low-latency, high-quality capacity [3] - The company recently secured final planning approval for phase one of its €400 million Madrid campus, which will ultimately offer up to 70MW of capacity [3][4] - The Madrid site, designated as MAD01, will include a 30MW data centre and a dedicated substation, with initial work focusing on high-voltage power line installation [4]

Bain is considering options including bringing in fresh backers for Singapore-based Bridge Data Centres to help it to raise cash https://t.co/SHmWE727IM ...

Summary of Key Points from the Asia Telecom Sector Conference Call Industry Overview - **Industry**: Data Centre Sector in Asia, with a focus on ASEAN region [1][2] Core Insights 1. **Capacity vs. Demand**: There is a significant gap between announced data centre capacity and actual operational supply, with demand growing at a compound annual growth rate (CAGR) of over 20% [2][3] - Example: In Johor, Malaysia, approximately 8 gigawatts (GW) of new capacity announced, but only about 700 megawatts (MW) operational, which is less than 10% [2] - Japan's planned facilities for 2028 are now expected to be completed by 2033 [2] 2. **Infrastructure Bottlenecks**: Persistent infrastructure issues, including water, power generation, transmission, and regulatory hurdles, are constraining growth and creating a competitive environment [2][3] 3. **AI vs. Cloud Computing**: While AI is a growth catalyst, cloud computing remains the primary driver of demand in the region, sustaining a robust CAGR of around 20%+ [3][5] - AI deployments are significant in select markets but are less predictable and time-sensitive compared to traditional cloud workloads [3] 4. **Cost Dynamics**: AI-focused data centres can be built at approximately 60% of the cost of traditional facilities due to lower redundancy needs and cheaper land options [5] 5. **Competitive Landscape**: The competitive dynamics are shifting rapidly, with an increase in mergers and acquisitions (M&A) in the sector, driven by hyperscalers' preference for large-scale global providers [5] 6. **Emerging Trends**: The rise of "neo clouds," which are smaller, niche platforms offering specialized AI or cloud services, is beginning to take up more capacity [3] Additional Considerations - **Regulatory Risks**: Increased regulatory risks, particularly concerning higher spectrum prices, pose challenges for telecommunications companies in the APAC region [6] - **Investment Opportunities**: The ongoing consolidation in the data centre market presents potential investment opportunities, especially for firms capable of navigating the evolving landscape [5] This summary encapsulates the critical insights and trends discussed during the conference call, highlighting the challenges and opportunities within the data centre sector in Asia.

Group 1: Data Centres and AI Boom - Data centres are considered the back office of the AI boom, but the sector involves heavy upfront capital expenditure (capex) and uncertain initial utilization, which can negatively impact profitability [1] - Replacing storage hardware is costly and frequent, leading to significant depreciation as a cash cost, distinguishing it from other infrastructure investments [1] Group 2: Market Valuation and Stock Picking - Indian markets have become complacent regarding high valuations, making selective stock picking crucial [2] - There is no sector-wide valuation comfort, but individual stocks within sectors may still present attractive opportunities [2] - The market is expected to remain range-bound with a mild negative bias due to foreign institutional investor (FII) selling, fresh equity supply, and modest earnings growth [2] Group 3: Investment Themes - A blend of growth and value investment strategies is recommended, indicating that this is not a market for index buying [5][7] - Strong opportunities are identified in green energy, particularly in local solar cell manufacturing, which is seen as a significant structural shift [6][9] - In the banking sector, select banks like Axis Bank, IndusInd Bank, and IDFC First Bank are highlighted for their growth visibility and reasonable valuations, with improved liquidity and managed deposit repricing [6][9]

Core Insights - Spain's ACS is nearing a partnership valued at 23 billion euros ($26.8 billion) with BlackRock's Global Infrastructure Partners to develop data centers [1] Company Summary - ACS is actively pursuing a significant investment opportunity in the data center sector through collaboration with a major investment firm [1] - The partnership with BlackRock's Global Infrastructure Partners indicates ACS's strategic focus on infrastructure development [1] Industry Summary - The data center industry is experiencing substantial investment interest, as evidenced by the large-scale partnership between ACS and BlackRock [1] - This collaboration highlights the growing demand for data infrastructure, driven by increasing digitalization and data consumption [1]

A consortium comprising of KKR and Singtel is in talks with banks for a loan of around $3.8 billion to support its proposed purchase of ST Telemedia Global Data Centres, according to sources https://t.co/xIW90Y8NKE ...

Core Viewpoint - KKR & Co and Singapore Telecommunications are in advanced negotiations to acquire over 80% of ST Telemedia Global Data Centres, aiming for full ownership for more than S$5 billion (approximately $3.9 billion) [1] Group 1 - The acquisition would significantly enhance KKR & Co's and Singapore Telecommunications' presence in the data center sector [1] - The deal reflects the growing demand for data center services amid increasing digitalization and cloud computing trends [1] - This transaction is part of a broader trend of consolidation in the data center industry as companies seek to scale operations and improve service offerings [1]

Group 1 - Spending on new UK data centres is projected to reach £10 billion annually by 2029, representing a more than five-fold increase from £1.75 billion spent in 2023 [1] - Investment in the UK data centre sector is being driven by AI demand, with tech giants expected to invest £25 billion over the next five years and nearly 100 new data centre projects planned [2] - The largest planned data centre project in the UK is a $13 billion "hyperscale" facility in North East England proposed by Blackstone, indicating a shift in development beyond London [3] Group 2 - The surge in global data centre demand and projects has been significantly influenced by the release of ChatGPT in late 2022, as investments in generative AI are anticipated to transform work and life [4]

Core Insights - Westbridge Renewable Energy Corp is expanding its data centre portfolio with a new project in Alabama, aimed at diversifying its asset base and addressing the growing demand for AI-ready data centres [1][2] - The Alabama Data Centre Project is strategically located near major fibre routes and renewable energy sites, providing reliable power and low-latency connectivity [2] - The company aims to integrate renewable energy assets with data processing facilities, positioning itself at the intersection of renewable energy and artificial intelligence [3] Company Strategy - The expansion into Alabama aligns with Westbridge's long-term vision of creating a diversified platform that supports renewable energy transition and digital technologies [4] - The company is advancing a pipeline of solar, battery energy storage, and data centre projects across North America, focusing on locations with grid capacity and fibre connectivity [4] Market Position - Westbridge operates in four key jurisdictions: Canada, the U.S., the U.K., and Italy, delivering long-term returns through an international portfolio of renewable energy assets [5] - The company has a strong track record with over 40 development projects worldwide, providing investors access to early-stage greenfield solar and energy storage projects [5]

Core Insights - Disruptions in logistics services lead to annual losses of approximately $16 billion for the global technology sector, representing 8% of the technology logistics market [1] Group 1: Impact of Logistics Disruptions - The technology sector is facing increased demands for faster delivery and greater reliability due to the rise of AI, cloud infrastructure, and data centers [2] - Geopolitical instability and trade uncertainty are identified as major influences on supply chain strategy by 91% of surveyed technology leaders [3] - Disruptions have resulted in more customer complaints for 87% of companies, with 66% reporting lost contracts due to supply chain issues [5] Group 2: Factors Affecting Supply Chain - Recent changes in US tariff policies impacted 70% of surveyed companies, while 68% were affected by the semiconductor shortage [3] - Companies investing in warehousing, international shipping, and sustainability experience lower disruption-related costs [4] - Focused investment in risk management and resilience planning can reduce disruption costs by up to 35% [4] Group 3: Importance of Resilience Planning - Strengthening supply chain resilience allows technology firms to restore operations quickly and maintain customer relationships during disruptions [4] - Many technology companies have inadequate resilience plans, with half of those surveyed losing over a month of productive time due to disruptions [6] - Reliable delivery is crucial for customer experience, as 59% of companies reported negative effects on brand reputation due to disruptions [5]