Thailand Data Center Networking Market Size and Share

Thailand Data Center Networking Market Analysis by Mordor Intelligence
The Thailand data center networking market reached USD 0.49 billion in 2025 and is projected to expand to USD 0.80 billion by 2030, reflecting a healthy 10.53% CAGR. Growth is fueled by the government-backed Thailand 4.0 program, hyperscale capital inflows, and accelerating cloud adoption. Deepening fiber backbones, falling latency targets for AI workloads, and a widening edge footprint in provincial cities are also shaping the Thailand data center networking market. Foreign investors continue to be attracted by tax holidays, green-energy credits, and proximity to subsea cable landing stations, while domestic enterprises ramp up network automation to offset labor shortages. Rising electricity tariffs, however, intensify the focus on power-efficient routing and switching platforms.
Key Report Takeaways
- By component, products led with 64.23% revenue share in 2024, while services are forecast to post the fastest 12.4% CAGR through 2030.
- By end-user, IT & telecommunications held 35.2% of Thailand data center networking market share in 2024; healthcare & life sciences is set to grow at 13.50% CAGR through 2030.
- By data-center type, colocation captured 55.4% of the Thailand data center networking market size in 2024, yet hyperscalers and cloud service providers are advancing at a 14.5% CAGR to 2030.
- By bandwidth, 50-100 GbE commanded 36.4% revenue share in 2024, whereas >100 GbE will expand at 14.8% CAGR by 2030.
- Cisco, Huawei, and Juniper together supplied just under 40% of switching and routing ports shipped in 2024, indicating a moderately concentrated vendor environment.
Thailand Data Center Networking Market Trends and Insights
Drivers Impact Analysis
Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
---|---|---|---|
Cloud-first and hyperscale build-outs | +2.8% | National (Bangkok, EEC) | Medium term (2-4 years) |
Thailand 4.0 digital-economy initiatives | +2.1% | National | Long term (≥ 4 years) |
OPEX-reduction pressure spurring network automation | +1.7% | National, enterprise | Short term (≤ 2 years) |
ASEAN Digital Gateway and cross-border traffic corridors | +1.4% | Regional | Medium term (2-4 years) |
OTT video / e-sports edge traffic | +0.9% | Provincial cities | Short term (≤ 2 years) |
ERC green-energy credit incentives | +0.6% | National | Long term (≥ 4 years) |
Source: Mordor Intelligence
Cloud-first and hyperscale build-outs
Hyperscale cloud providers are scaling 400 GbE and 800 GbE fabrics to support AI and real-time analytics requirements concentrated in the Eastern Economic Corridor. Microsoft, AWS, and Google collectively announced more than USD 6 billion of incremental capacity in 2025 alone, triggering a steady upgrade cycle among regional carriers that peer with these facilities.[1]Government Public Relations Department, “BOI Approves THB 241 Billion Data Center Investments,” thailand.go.th The resulting demand for high-port-density spine switches and coherent optics is cascading into enterprise roadmaps. Vendors such as Ciena introduced 8192-slot coherent routers that deliver 800 Gbit/s per channel while consuming 30% less power.[2]François Locoh-Donou, “Introducing the 8192 Coherent Router,” Ciena Insights Blog, ciena.com Large local banks are mirroring these architectures inside private cloud zones to keep latency below 1 ms for real-time payment rails.
Thailand 4.0 digital-economy initiatives
Public-sector digitalization mandates stable, low-latency networking from provincial hospitals to revenue-collection offices. Universal broadband targets by 2027 require hundreds of micro data centers at the sub-district level, each linked by software-defined WAN overlays. The Personal Data Protection Act is accelerating demand for encrypted east-west traffic visibility and zero-trust segmentation, pushing firewall throughput requirements above 1 Tb/s.
OPEX-reduction pressure spurring network automation
Electricity costs climbed to USD 0.11/kWh in 2025, and utilities signaled an additional 4% hike tied to upcoming carbon levies. Operators are turning to intent-based networking and closed-loop automation to trim 20-30% of routine configuration hours. Cisco’s Network Services Orchestrator and Red Hat Ansible are now bundled with pre-built playbooks for optical wavelength provisioning.
ASEAN Digital Gateway and cross-border traffic corridors
Thailand’s role in regional data corridors is being strengthened by new submarine cable landings that cut round-trip latency to Singapore below 25 ms. The government signed memoranda with Laos and Cambodia to harmonize IX taxation, spurring demand for terabit-scale border routers with deep packet inspection. Export-oriented manufacturers are adopting on-premises encryption appliances capable of handling 400 GbE links to meet data-residency requirements of clients anchored in Vietnam and Indonesia.
Restraints Impact Analysis
Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
---|---|---|---|
High capex for advanced networking gear | -1.9% | National, mid-market | Short term (≤ 2 years) |
Shortage of SDN / DevNet skill sets | -1.2% | National | Medium term (2-4 years) |
Delays in subsea-cable landing permits | -0.8% | Coastal regions | Medium term (2-4 years) |
Rising electricity tariffs and looming carbon tax | -0.7% | National | Long term (≥ 4 years) |
Source: Mordor Intelligence
High capex for advanced networking gear
A typical 800 GbE leaf-spine deployment for a 5 MW facility can exceed USD 4 million in capital outlay, placing it beyond the reach of Thailand’s mid-sized service providers. Leasing options are limited because local banks remain cautious about residual-value risk on rapidly obsoleting optical modules.
Shortage of SDN / DevNet skill sets
Industry surveys indicate that certified DevNet professionals number fewer than 2,000 nationwide, leading to salary premiums upward of 70% over traditional CCNP roles. The talent bottleneck delays migration projects and forces operators to rely on vendor professional services.
Segment Analysis
By Component: Services Accelerate Despite Products Dominance
Products dominated 64.23% of 2024 revenue thanks to brisk orders for fixed-configuration spine switches and coherent optics. The Thailand data center networking market size for products is projected to reach USD 0.50 billion by 2030 at an 8.4% CAGR, sustained by switch-to-server refresh cycles. In parallel, professional services, managed network operations, and training recorded a 12.4% CAGR, benefiting from scarce in-house DevSecOps talent. Enterprises choose managed services to obtain 24/7 monitoring and intent-based change control, cutting mean-time-to-repair below 30 minutes. Vendors bundle lifecycle support to guarantee firmware compliance under the Personal Data Protection Act. Demand for SLA-bound services stems from regulatory penalties that can exceed 3% of annual revenue for downtime-induced data breaches.
The Thailand data center networking market is also witnessing expanded consumption of proactive maintenance services that harness AI-driven telemetry. Operators ingest streaming sensor data into predictive models that pre-empt line-card failures up to 20 days in advance. Consulting and design services are in demand during edge-site build-outs, where space and cooling constraints call for custom topologies. Remote hands services gain traction among overseas cloud providers co-locating hardware in Bangkok but lacking resident engineers.
By End-User: Healthcare Emerges as Growth Leader
IT & telecommunications held 35.2% of Thailand data center networking market share in 2024, driven by 5G backhaul densification and OTT content caching nodes. Yet healthcare & life sciences will post a 13.50% CAGR through 2030 as hospitals digitalize imaging archives and deploy tele-ICU platforms. The Thailand data center networking market size for healthcare could top USD 95 million by 2030, assuming continued e-health reimbursement incentives. High-resolution CT scans generate 1–2 TB per session, pushing edge storage and 100 GbE interconnect mandates inside hospital campuses.
Pharmaceutical labs in Rayong are building air-gapped data centers for genome analytics using 400 GbE clusters. BFSI remains a high-value vertical with sustained appetite for deterministic low-latency networks supporting real-time settlement and fraud analytics. Government agencies expand secure WAN overlays that meet Cyber Security Act stipulations. Media & entertainment companies leverage adaptive bitrate encoding nodes placed in tourist hotspots, while manufacturing outfits operate private 5G MEC hubs enabling digital twins.
By Data-Center Type: Hyperscalers Drive Transformation
Colocation operators commanded 55.4% of revenue in 2024, but hyperscalers are adding capacity at twice the pace of carrier-neutral builds. The Thailand data center networking market is seeing hyperscalers deploy larger 18-50 MW campuses needing 1024-port spine meshes. Saturation of Bangkok’s power grid pushes new builds toward the EEC, where tax holidays and LNG terminal access lower PUE. Colocation players respond by integrating software-defined interconnection fabrics, allowing enterprises to spin up 10 GbE cross-connects within minutes.
Edge and micro data centers register an 11.9% CAGR through 2030, reflecting IoT and smart-city rollouts. Low-height racks and outside-plant enclosures dominate these sites, often powered via rooftop solar. Operators adopt open-compute switches flashed with SONiC to meet budget constraints. Workload orchestration platforms facilitate live VM migrations between edge clusters and core regions, ensuring compliance with data-sovereignty rules.
Note: Segment shares of all individual segments available upon report purchase
By Bandwidth: Ultra-High-Speed Migration Accelerates
The 50-100 GbE tier retained 36.4% market share in 2024, offering an optimal balance of cost and throughput for most enterprises. Thailand data center networking market size for this tier will still climb because enterprises stagger upgrades, but its share will slip as AI training and inference require 400 GbE fabrics. Deployments above 100 GbE rise at 14.8% CAGR, propelled by hyperscale AI clusters using NVLink and RoCE.
Less than or equals to 10 GbE ports persist in out-of-band networks and KVM management links. Meanwhile, 25-40 GbE acts as a stepping-stone for SMEs migrating from 1 GbE. Vendors now ship optics supporting both PAM4 and coherent modulation, simplifying field upgrades. Dynamic bandwidth licensing enables pay-as-you-grow, curbing initial capex anxieties.
Geography Analysis
Bangkok concentrates nearly 70% of installed rack capacity and remains the primary junction for subsea cables linking India and Singapore. The capital’s dense fiber rings and proximity to IXs lower transit costs, making it the preferred landing zone for multicloud edge nodes. The Thailand data center networking market benefits from municipal incentives that discount grid power by 3% for data centers achieving PUE below 1.3.
The Eastern Economic Corridor—covering Chonburi, Rayong, and Chachoengsao—anchors the second-largest cluster of hyperscale campuses. Land grants, LNG import terminals, and high-voltage substations accelerate approvals. The Thailand data center networking market share of the EEC will approach 28% by 2030 as AWS, Google, and local conglomerates commission multi-availability-zone regions.
Provincial cities such as Chiang Mai and Phuket experience double-digit growth in micro-edge nodes. Smart-tourism projects stream 8K VR content that demands under-10 ms latency, prompting deployment of MEC cabinets beside 5G base stations. National broadband projects extend fiber backhaul to 40,000 villages, enabling edge-aggregation routers that hand off traffic to regional IXs. The trend diversifies capacity away from the Bangkok metro and underpins a resilient, distributed topology.
Competitive Landscape
Global incumbents—Cisco, Huawei, and Juniper—supplied just under 40% of switch and router ports in 2024, signaling moderate concentration. Each vendor now bundles AI-driven assurance engines, seeking stickier software annuities. Cisco promotes Routed Optical Networking that collapses IP and optical layers, lowering total cost by up to 45%.[3]Kip Compton, “Routed Optical Networking Explained,” Cisco Blogs, cisco.com Huawei offers CloudFabric 3.0 with lossless Ethernet for AI clusters, while Juniper’s Apstra automates multi-vendor fabrics through intent-based design.
Local system integrators—G-Able, MFEC, and Jasmine—address customization gaps by offering site preparation, power-train integration, and bilingual NOC services. Hyperscalers fast-track campus builds via joint ventures with property developers that provide land, power, and renewable PPAs. Partnerships between CP Group and BlackRock aim to erect a 200-MW “Giga Data Hub” near Rayong, pressuring incumbents to pre-position inventory and swap lines to meet condensed procurement windows.
Optical component vendors—Ciena and Lumentum—push coherent pluggables that fit QSFP-DD form factors, enabling easy upgrades from 100 GbE to 400 GbE without chassis replacement. The open-optics trend erodes traditional vendor lock-ins and intensifies price competition. Meanwhile, security appliance specialists such as Palo Alto Networks collaborate with NTT DATA to bake 5G-aware firewalls into edge data centers. The evolving mix of traditional hardware, disaggregated white-box platforms, and managed services keeps bargaining power distributed among buyers.
Thailand Data Center Networking Industry Leaders
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Cisco Systems Inc.
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Huawei Technologies Co. Ltd.
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Juniper Networks Inc.
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Dell Technologies Inc.
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Hewlett Packard Enterprise (HPE)
- *Disclaimer: Major Players sorted in no particular order

Recent Industry Developments
- June 2025: Global Infrastructure Partners pledged more than USD 1 billion for hyperscale builds in Thailand, focusing on ultra-high-density optical fabrics
- June 2025: Equinix acquired three Manila data centers, expanding its regional interconnection footprint for Thai enterprises.
- May 2025: FPT Corporation partnered with Sunline to modernize Thai digital banking stacks and underpin low-latency APIs
- March 2025: MUFG Bank and NTT DATA validated sub-1s live migration across a 50 km IOWN all-photonics link, meeting stringent RTO needs
- March 2025: Ciena released its 8192 coherent router delivering 800 G channels with 30% power savings.
- February 2025: NTT DATA and Palo Alto launched a managed service pairing private 5G with zero-trust edge firewalls
Thailand Data Center Networking Market Report Scope
Data center networking refers to the set of technologies, protocols, and hardware used to connect physical and network-based devices and manage the network infrastructure, storage, and processing of applications and data. Data center networking is very critical for 100% uptime of data centers. In the current web-connected world, business workloads are executed on single computers, hence leading to the need for data center networking. Networks provide servers, clients, applications, and middleware with a standard plan to stage the execution of workloads and also to manage access to the data produced.
The Thailand data center networking market is segmented by product (Ethernet switches, routers, storage area network (SAN), application delivery controllers (ADC), and other networking equipment), by services (installation & integration, training & consulting, and support & maintenance), and by end-user (IT & telecommunication, BFSI, government, media & entertainment, and other end users). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
By Component | Products | Ethernet Switches | |
Routers | |||
Storage Area Network (SAN) | |||
Application Delivery Controllers (ADC) | |||
Network Security Appliances | |||
Software-Defined Networking (SDN) Controllers | |||
Optical Interconnects | |||
Services | Installation and Integration | ||
Training and Consulting | |||
Support and Maintenance | |||
Managed Network Services | |||
By End-User | IT and Telecommunications | ||
Banking, Financial Services and Insurance (BFSI) | |||
Government and Defense | |||
Media and Entertainment | |||
Healthcare and Life Sciences | |||
Manufacturing and Industrial | |||
Other End-Users | |||
By Data-Center Type | Colocation | ||
Hyperscalers/Cloud Service Providers | |||
Edge/Micro Data Centers | |||
By Bandwidth | Less Than equals to 10 GbE | ||
25–40 GbE | |||
50–100 GbE | |||
Greater Than 100 GbE |
Products | Ethernet Switches |
Routers | |
Storage Area Network (SAN) | |
Application Delivery Controllers (ADC) | |
Network Security Appliances | |
Software-Defined Networking (SDN) Controllers | |
Optical Interconnects | |
Services | Installation and Integration |
Training and Consulting | |
Support and Maintenance | |
Managed Network Services |
IT and Telecommunications |
Banking, Financial Services and Insurance (BFSI) |
Government and Defense |
Media and Entertainment |
Healthcare and Life Sciences |
Manufacturing and Industrial |
Other End-Users |
Colocation |
Hyperscalers/Cloud Service Providers |
Edge/Micro Data Centers |
Less Than equals to 10 GbE |
25–40 GbE |
50–100 GbE |
Greater Than 100 GbE |
Key Questions Answered in the Report
What is the current size of the Thailand data center networking market?
The market stands at USD 0.49 billion in 2025 and is forecast to reach USD 0.80 billion by 2030, implying a 10.53% CAGR.
Which segment is growing fastest?
Services, particularly managed operations and integration, are expanding at 12.4% CAGR due to talent shortages and rising network complexity.
Why are hyperscalers investing heavily in Thailand?
Factors include tax incentives in the Eastern Economic Corridor, strategic proximity to ASEAN traffic corridors, and government support under Thailand 4.0.
What bandwidth tier is advancing most quickly?
Links above 100 GbE, including 400 GbE and 800 GbE, are growing at 14.8% CAGR as AI and real-time analytics workloads surge.
How are rising power costs influencing network design?
Operators adopt power-efficient silicon, routed optical architectures, and AI-driven automation to curb OPEX as electricity tariffs climb.
What are the major restraints facing the market?
High upfront cost for cutting-edge gear and a shortage of SDN/DevNet talent can delay deployments and limit broader technology uptake.