Vietnam Data Center Storage Market Report and Forecast 2025-2034

The demand for data centers in Vietnam is also being driven by the growth of cloud computing, the increasing presence of foreign cloud providers, and increased investments from domestic companies. As of October 19, 2023, Vietnam has approximately 77 million internet users, representing 79.1% of the population, which boosts the need for digital services and data centers. Additionally, the rising affordability of smartphones has led to widespread ownership, enabling millions to access the internet. The expansion of high-speed internet networks has further facilitated online activities, contributing to the growth of the Vietnam data center storage market.  

The Vietnamese government requires that both local and foreign providers of telecommunications, internet, and value-added services in cyberspace store specific types of data within Vietnam. This includes personal data of users, data generated by users, and information about user relationships. The updated Telecommunications Law, effective July 1, 2024, is designed to regulate digital infrastructure and service providers, encompassing data centers, cloud computing, and over-the-top (OTT) communications. It also allows for 100% foreign ownership in the data center sector and enables the provision of these services across national borders.

Vietnam's leading telecom companies are making substantial investments in expanding their data center infrastructure. This strategic move is driven by the rapidly growing demand for data storage and processing capabilities within the country. Major players are building large-scale data centers in key cities such as Ho Chi Minh City and Hanoi. This significant investment demonstrates the data center storage demand growth in the country.

Data centers are actively becoming more energy efficient. They're using innovative cooling methods like liquid cooling to drastically reduce energy consumption. Additionally, there's a growing trend towards powering data centers with renewable energy sources like solar power. Using less energy-hungry servers is another way data centers are becoming greener. Many data center operators are also adopting renewable energy sources to power their facilities, reducing reliance on traditional grid electricity.