South Korea’s Data Centre Market to Require US$13.6 Billion in Investment by 2030 as AI Infrastructure Demand Accelerates
- South Korea expected to generate approximately US$4.1 billion in annual colocation rental revenue by 2030
- South Korea recorded approximately 255MW of pre-leased capacity as of H1 2026, demonstrating continued occupier demand
- Asia Pacific data centre asset values projected to exceed US$950 billion by 2030
SEOUL, 1 September 2026 – South Korea is expected to require approximately US$13.6 billion in capital expenditure to support its future colocation data centre pipeline through 2030, as demand for artificial intelligence, cloud services and digital infrastructure continues to expand.
The country is forecast to generate approximately US$4.1 billion in annual colocation rental revenue by 2030, positioning it among Asia Pacific’s larger revenue-generating data centre markets, according to Cushman & Wakefield’s 2026 Asia Pacific Data Centre Investment Landscape report. South Korea also recorded approximately 255MW of pre-leased capacity as of H1 2026, reflecting continued occupier demand despite its relatively mature data centre market.
The Korea outlook forms part of a broader expansion of the Asia Pacific data centre sector. Operational data centre asset values across the region are projected to exceed US$950 billion by 2030, while more than US$280 billion in capital expenditure will be required to support the region’s rapidly growing colocation development pipeline through the end of the decade.
The investment opportunity is being driven by accelerating artificial intelligence adoption, cloud expansion and digital transformation. Although Asia Pacific accounts for more than 60% of the world’s population, the region currently represents only 22% of global operational data centre capacity, indicating significant potential for further infrastructure investment and development.
South Korea’s data centre market is benefiting from the rapid adoption of AI technologies, cloud services and data-intensive applications. The country’s pre-leased capacity demonstrates sustained requirements for computing and data-processing infrastructure, while its projected colocation revenue indicates the scale of the commercial opportunity expected to emerge through 2030.
“Asia Pacific remains one of the most compelling digital infrastructure investment opportunities globally,” said Pritesh Swamy, Head of Research & Consulting, Data Centre Group, Cushman & Wakefield Asia Pacific.
Asia Pacific’s total data centre capacity is projected to increase 2.7 times by 2030, supported by a development pipeline of more than 26,000MW. Pre-leasing volumes across the region have increased 115% year-on-year as operators and hyperscale customers secure future capacity ahead of delivery.
In South Korea, however, the delivery of new capacity involves comparatively high development costs. The cost of developing data centres in the country, including land, is estimated at approximately US$13.0 million per MW, placing South Korea among the most expensive development markets in Asia Pacific and highlighting the growing cost and complexity of delivering next-generation digital infrastructure.
Despite these cost pressures, South Korea is forecast to deliver a yield on cost of approximately 9% to 10%. This is broadly in line with regional averages and above several mature Asia Pacific markets, supporting the country’s continued relevance to investors seeking exposure to digital infrastructure.
Power availability, scalability and infrastructure readiness are therefore expected to become increasingly important considerations for developers and investors operating in Korea. As AI workloads become more sophisticated, the ability to secure reliable power and deliver high-density, next-generation facilities will play a growing role in development feasibility and investment decision-making.
YJ Choi, Head of Occupier Services, Cushman & Wakefield Korea, said: “Data centres are increasingly being recognised as critical infrastructure supporting Korea’s digital economy and AI ecosystem. As demand for AI computing, cloud services and digital transformation accelerates, investor focus is shifting towards high-quality data centre assets that can provide long-term scalability, operational resilience and access to reliable power infrastructure.”
Annual colocation revenue across Asia Pacific is forecast to exceed US$66 billion by 2030, supported by continued capacity expansion and strong underlying demand. The sector is increasingly being viewed by institutional investors as a core infrastructure asset class rather than a niche alternative investment.
For more information and to download the report, please view the Asia Pacific Data Centre Investment Landscape report.
