| Study Period | 2021 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Volume (2025) | 37.73 Billion liters |
| Market Volume (2030) | 93.09 Billion liters |
| CAGR | 19.80 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Study Of Data Center Water Consumption In Malaysia Market Analysis
The Study Of Data Center Water Consumption In Malaysia Market size is estimated at 37.73 billion liters in 2025, and is expected to reach 93.09 billion liters by 2030, at a CAGR of 19.8% during the forecast period (2025-2030).
- IT Load Capacity: The IT load capacity of Malaysia's colocation data center market is around 636.24 MW in 2024.
- Geographical Significance: Malaysia, encompassing both peninsular and insular regions, lies within tropical latitudes and experiences a climate marked by high temperatures, humidity, and heavy rainfall. The climatic year is influenced by the northeast and southwest monsoons, resulting in four distinct seasons: the northeast monsoon (November or December to March), the first intermonsoonal period (March to April or May), the southwest monsoon (May or June to September or early October), and the second intermonsoonal period (October to November). The transitions between these monsoons are gradual and not sharply defined. Our research indicates that Malaysia's water consumption is projected to exceed 77 billion liters in 2024.
- Raised Floor Space: Malaysia's colocation data center raised floor space is about 2.28 million sq. ft in 2024.
- Projected Installed Racks: In 2024, Malaysia is set to install over 90,890 racks in its colocation data centers.
Study Of Data Center Water Consumption In Malaysia Market Trends
Colocation and Cloud Service Providers in Malaysia Witness Rising Demand from IT and Telecom Sector
- With the expansion of the digital landscape and the proliferation of data centers, the demand for efficient and sustainable cooling solutions has significantly increased. This surge is primarily driven by the telecom sector's efforts to enhance content, mobile, and cloud services, resulting in a rapid rise in data center demand. Given the critical importance of these facilities, ensuring their uninterrupted operation is essential. As data centers become more interconnected and the demand for WAN connectivity grows, network resources face increased strain. This strain leads to higher storage needs and energy consumption, highlighting the necessity for effective cooling solutions.
- The deployment of 5G technology is expected to escalate consumption rates, thereby intensifying the industry's demand for robust data storage solutions. To fully leverage 5G applications, it is crucial to advance digital infrastructures, particularly data centers. Reflecting this trend, an increasing number of investors are finalizing deals in anticipation of the forthcoming 5G rollout.
- Several cloud providers are entering the Malaysian market. For instance, in May 2024, Google announced plans to invest USD 2 billion in a Malaysian data center and cloud hub. Similarly, Microsoft revealed a USD 2.2 billion investment in the same month, aimed at advancing Malaysia's cloud and AI initiatives.
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Malaysia's Liquid Cooling Technology Sees Significant Advancements
- As nations grapple with the urgent challenges posed by climate change, future infrastructure must strive to limit temperature increases to 2°C above pre-industrial levels. In Malaysia, the emphasis on smart district cooling systems is pivotal for refining energy demand management and addressing climate goals.
- Effectively managing thermal loads in telecom facilities and electronic enclosures is paramount. Liquid cooling stands out as a viable solution, boasting a heat-carrying capacity far superior to that of air. To illustrate, water's heat-carrying capability surpasses that of air by roughly 3,500 times. By adopting economizer-based liquid cooling and state-of-the-art metal interfaces, cooling energy consumption can be reduced to a mere 5% of a data center's total energy expenditure. This not only conserves energy but also contributes to a reduction in carbon dioxide (CO2) emissions, aligning with Malaysia's sustainability efforts.
- Malaysia's data center market is experiencing a notable influx of investments. AirTrunk has made its mark with plans for a data center exceeding 150 MW. Equinix and Google are set to enhance the landscape with their hyperscale facilities. Furthermore, many providers are turning to liquid cooling technology to optimize power consumption. A standout innovation in this domain merges indirect evaporative cooling (IEC) with direct-to-chip liquid cooling. This method, particularly embraced by AirTrunk's clientele, facilitates high-density rack deployments and boasts a potential 20% reduction in energy consumption. Such strides are propelling the segment's growth and reinforcing Malaysia's position in the global data center market.
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Study Of Data Center Water Consumption In Malaysia Industry Overview
In the highly fragmented landscape of Malaysia's water consumption data center market, five key players stand out. Leading the charge are Bridge Data Centres Group, Keppel DC REIT Management Pte. Ltd., NTT DATA GROUP Corporation, VADS BERHAD (TM One), and YTL Data Center Holdings Pte Ltd (YTL Power International Berhad).
NTT DATA is committed to minimizing the environmental footprint of its IT systems and business operations. In alignment with the global push for urgent climate action, NTT DATA introduced its "NET-ZERO Vision 2040". While information technology has ushered in numerous innovations, it plays a pivotal role in addressing the challenges posed by climate change.
Study Of Data Center Water Consumption In Malaysia Market Leaders
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Bridge Data Centres Group
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NTT DATA GROUP Corporation
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VADS BERHAD (TM One)
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Keppel DC REIT Management Pte. Ltd.
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YTL Data Center Holdings Pte Ltd (YTL Power International Berhad)
- *Disclaimer: Major Players sorted in no particular order
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Study Of Data Center Water Consumption In Malaysia Market News
- August 2024: In August 2024, an article highlighted that residents of Penang, Malaysia, are being urged to conserve water. This call to action comes amidst rising concerns over potential water shortages, as dam levels dwindle. Among the numerous water-saving suggestions shared, residents are advised to wash their cars less frequently and to use watering cans for their plants. The Penang Water Supply Corporation, the state-owned entity overseeing water services, reported that the effective capacities of the Air Hitam and Teluk Bahang dams are now at 27.6% and 25.2%, respectively. This water scarcity isn't confined to Penang's dams; key dams in the neighboring states of Kedah and Perak are also feeling the impact.
- June 2024: Malaysians' high water subsidies have inadvertently shaped their consumption habits and routines. In 2023, Malaysia's per capita water consumption averaged 226 liters daily, ranking among the highest in Southeast Asia. This figure significantly surpasses the World Health Organization's (WHO) recommended limit of 165 liters and the 180-liter cap outlined in Malaysia's 11th and 12th Plans. Notably, Malaysia's water usage outpaces that of neighboring countries like Singapore, Indonesia, and the Philippines. Given water's highly subsidized status, there's little incentive for users to conserve or avoid waste. Furthermore, water operators face challenges in maintaining sustainable operations due to the inability to recover operational expenses.
Study Of Data Center Water Consumption In Malaysia Industry Segmentation
The study tracks the critical applications of water for running a large data centers, such as DC cooling, and power generation. The study also includes key applications based on the Water Consumption in Data Centers. The study also includes the overall water consumption based on the DC footprint across regions in terms of billion liters. Lastly, the study tracks the underlying trends and developments conceptualized by leading industry data center operators and cloud service providers.
The Study of Data Center Water Consumption in Malaysia is Segmented by Source of Water Procurement (Potable Water, Non-Potable Water, Other Alternate Sources), by Data Center Type (Enterprise, Colocation, Cloud Service Providers), and by Data Center Size (Mega, Massive, Large, Medium, Small). The Market Sizes and Forecasts are Provided in Terms of Volume (Billion Liters).
| Market Segmentation - By Source of Water Procurement | Potable Water (Via Regional Water Utility Companies, Local Water Authorities or Private Companies) |
| Non-Potable Water (It Includes greywater (Treated Sewage or Recycled Water) | |
| Other Alternate Source (It includes on-site Groundwater, Surface Water, Seawater, Water produced via a byproduct of oil and gas extraction, and Rainwater) | |
| Market Segmentation - By Data Center Type | Enterprise |
| Colocation | |
| Cloud Service Providers (CSPs) | |
| Market Segmentation - By Data Center Size | Mega |
| Massive | |
| Large | |
| Medium | |
| Small |
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Study Of Data Center Water Consumption In Malaysia Market Research FAQs
How big is the Study Of Data Center Water Consumption In Malaysia Market?
The Study Of Data Center Water Consumption In Malaysia Market size is expected to reach 37.73 billion liters in 2025 and grow at a CAGR of 19.80% to reach 93.09 billion liters by 2030.
What is the current Study Of Data Center Water Consumption In Malaysia Market size?
In 2025, the Study Of Data Center Water Consumption In Malaysia Market size is expected to reach 37.73 billion liters.
Who are the key players in Study Of Data Center Water Consumption In Malaysia Market?
Bridge Data Centres Group, NTT DATA GROUP Corporation, VADS BERHAD (TM One), Keppel DC REIT Management Pte. Ltd. and YTL Data Center Holdings Pte Ltd (YTL Power International Berhad) are the major companies operating in the Study Of Data Center Water Consumption In Malaysia Market.
What years does this Study Of Data Center Water Consumption In Malaysia Market cover, and what was the market size in 2024?
In 2024, the Study Of Data Center Water Consumption In Malaysia Market size was estimated at 30.26 billion liters. The report covers the Study Of Data Center Water Consumption In Malaysia Market historical market size for years: 2021, 2022, 2023 and 2024. The report also forecasts the Study Of Data Center Water Consumption In Malaysia Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Study Of Data Center Water Consumption In Malaysia Industry Report
Statistics for the 2025 Study Of Data Center Water Consumption In Malaysia market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Study Of Data Center Water Consumption In Malaysia analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
