US colocation giant Digital Realty is planning a large-scale investment in Singapore.

The company this week announced it is targeting nearly S$7 billion (US$5.48bn) of total investment in Singapore.

That figure includes more than S$4.3 billion (US$3.37bn) planned for new data center developments, building on existing investments. Further details of any new facilities were not shared.

"Singapore is emerging as a critical hub for AI inference in Asia Pacific," said Serene Nah, managing director and head of Asia Pacific, Digital Realty. "As organizations deploy AI in real-world environments, they need secure, highly connected infrastructure close to where data is created and consumed. This S$7 billion investment target demonstrates our confidence in Singapore's role as the region's AI infrastructure anchor. We're not just expanding capacity—we're building the operational capabilities, innovation facilities, and local talent base needed to support customers as AI enters production at scale."

Digital Realty currently lists three data centers in Singapore: SIN10, SIN11, and SIN12, totaling 925,000 sq ft (85,900 sq ft) of colocation space and 70MW of capacity.

The company first entered Singapore in 2010, acquiring a newly developed data center. First announced in 2019, the 50MW SIN12 (also known as Digital Loyang II) launched in 2021. Announced in 2015, the 13MW SIN11 (aka Digital Loyang I) was redeveloped from a former paper store and launched in 2016.

Singapore has had a moratorium on new data center developments since 2019 (although already authorized facilities were allowed to be built after this point), but this is starting to be relaxed.

Equinix, GDS, Microsoft, and a consortium of AirTrunk and TikTok-owner ByteDance were collectively allocated 80MW of capacity in 2023. Digital reportedly missed out on a capacity allocation, with reports suggesting the company had applied to develop a 60MW facility.

The Singapore government is currently requesting applications for further data center projects, and is set to allow up to 200MW of capacity to be developed.