As hyperscalers emerge in the Philippines, Beeinfotech PH is optimistic about data centre expansion

Beeinfotech PH (Bee Information Technology PH Inc.), a data centre services provider, believes the Philippine data centre market is ready to meet the needs of global hyperscale companies. This is due to a number of factors, including the market’s growing adoption of enterprise cloud and data centres, rising Internet usage, and recent improvements in the country’s Information and Communications Technology (ICT) capabilities.

According to recent forecasts, the Asia Pacific region is becoming a popular destination for hyperscalers. According to Frost & Sullivan, by 2025, APAC will have surpassed all other regions as the world’s leading data centre market. The Philippines is also expected to see a surge in data centre growth, with an average increase of 24 percent in data centre supply over the next three to five years, according to the firm. In a recent online event[1] announcing the arrival of hyperscale companies in the Philippines, the Philippines’ Department of Trade and Industry emphasised this.

“These projections demonstrate how the country’s ICT capabilities have vastly improved over time. It demonstrates that the Philippines is ready to play a key role in ensuring that the online services that people around the world rely on and enjoy continue to operate by hosting the infrastructure of hyperscale companies within its borders,” said Reynaldo Huergas, President and CEO of Beeinfotech PH.

The term “hyperscale” refers to a data center’s expansion of significant resources in order to respond quickly to customer demand. Companies like Google, Microsoft, and Amazon, which deal with a lot of real-time data through their online services, are examples of companies with this capability.

Despite the fact that these companies have their own data centres, logistical considerations make it much easier for them to colocate or host infrastructure within data centre partners who already have the facilities, according to Huergas. For example, Beeinfotech PH’s multi-million peso “The HIVE” facility, which opened in August, has a 3,000-plus rack space that’s ideal for quickly scaling resources.

“Building a data centre will take years for businesses, not just because of the construction itself, but also because of the paperwork and permits that must be completed first. Hyperscale companies can deploy quickly to meet customer demand by colocating resources with a local data centre partner,” Huergas adds.

The Philippines is poised to become the next major data centre hub for hyperscalers

Several hyperscale companies have been eyeing the Philippines for some time, according to Beeinfotech PH. The country’s positive connections with the East and West make it a gateway for both East and West to expand into the fast-growing APAC market, while allowing regional companies to make their mark on the rest of the world. The surrounding data centre hubs in other ASEAN countries, according to Beeinfotech PH, have become too congested to support the critical compute zones required by hyperscale companies.

Global companies are drawn to the growing number of undersea cables that are strengthening the country’s connectivity. There are currently ten international submarine cable systems connecting the Philippines to the rest of the world, with five more trans-pacific submarine cables expected to connect the market to the rest of the world by 2024.

Beeinfotech PH also claims that Filipinos’ high Internet usage makes expanding into the Philippines as profitable as ever because of the opportunity to tap into a digitally savvy customer base of nearly a hundred million online users.

“Filipinos’ high Internet usage translates to a lucrative market for hyperscalers. Hyperscalers, on the other hand, must first bring their resources closer together by expanding or colocating. The closer their presence, the faster their content will be delivered, allowing them to attract and retain a large audience,” Maricar Nepomuceno, Beeinfotech PH Senior Vice President, Strategic Planning & Business Development, explained.

Another reason hyperscalers are flocking to the Philippines is the growing data centre market. Beeinfotech PH is among the few data centre service providers in the Philippines with the facilities to host hyperscale companies. In addition to providing truly telco-neutral and bespoke colocation services, The HIVE facility provides an open canvas within its premises to meet all stringent requirements and give hyperscale companies more colocation flexibility.

Visit beeinfotech.ph for more information on Beeinfotech’s hyperscale-ready services.

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