ST Telemedia Global partners with VNG to boost Vietnam's data centres

ST Telemedia Global Data Centres (STT GDC) has announced a joint venture with VNG Corporation to develop, construct, and operate data centre projects in Ho Chi Minh City, Vietnam. This strategic partnership aims to bolster Vietnam's digital infrastructure and support its burgeoning digital economy.

The collaboration will see the continuation of operations at STT VNG Ho Chi Minh City 1, previously known as VNG Data Center, located in the Tan Thuan area. Additionally, the venture plans to establish a new facility, STT VNG Ho Chi Minh City 2, situated 1.5 km away within the same Tan Thuan cluster, which is expected to be operational by the first half of 2026.

Headquartered in Singapore, STT GDC is among the world's fastest-growing data centre providers, offering colocation services through more than 95 data centres across 20+ business markets. The partnership with VNG, a leading technology company in Vietnam, aims to set new international data centre standards by leveraging VNG's local expertise and engineering capabilities.

STT VNG Ho Chi Minh City 1 is an Uptime Tier-3 rated facility with ISO 27001, ISO 27017, ISO 27018, and PCI-DSS certifications. It offers a total IT load capacity of 9.6 megawatts and is designed to meet global standards for various enterprise segments, including local and international banks, financial institutions, and network service providers. This facility also serves as Ho Chi Minh City's first carrier-neutral connectivity hub, providing network coverage from major local telecommunication operators and various services, including cloud access and disaster recovery.

The upcoming STT VNG Ho Chi Minh City 2 data centre will offer a development potential of up to 60 megawatts of IT load capacity once fully constructed. It will be interconnected with the first data centre via ample network infrastructure, enabling smooth connectivity and expansion. The facility will be strategically positioned near substations, critical telecommunications networks, and key logistical and business hubs, providing seamless access to transportation links.

Commenting on the partnership, Lionel Yeo, Chief Executive Officer, Southeast Asia, STT GDC, said, "We are thrilled to partner with VNG in our venture to build and operate data centres in Vietnam. VNG's deep local knowledge, carrier neutrality, extensive customer and partner network, and commitment to technological innovation align perfectly with STT GDC's vision. Together, we bring a unique blend of global and local expertise to deliver a new international standard of data centre solutions, supporting Vietnam's digital transformation journey."

Le Hong Minh, Founder and CEO of VNG Corporation, also expressed enthusiasm for the venture, stating, "We believe our partnership with STT GDC, a globally recognised leader in data centre operations, will set new service standards worldwide for Vietnam's data centre industry and introduce our products and services to international markets. Together, we are advancing the AI Cloud movement to support both regional and local businesses, aligned with key trends in the digital economy."

Vietnam's digital economic growth is forecasted to grow 20% by 2025, nearly double the projected GDP growth. This expansion is underpinned by a thriving digital ecosystem, progressive government policies, increasing data consumption, enhanced connectivity, and a commitment to modernising the nation's infrastructure. The partnership between STT GDC and VNG is poised to play a crucial role in solidifying Vietnam's position as an emerging digital powerhouse in Southeast Asia.