NTT Corporation has announced to invest approximately 40 billion yen through NTT Global Data Centers Corporation(NTT GDC; head office: Chiyoda-ku, Tokyo; CEO: Yasuo Suzuki) to build new “Keihanna Data Center” (provisional name; hereinafter referred to as “the Data Center”) in Kyoto Prefecture, and NTT Communications Corporation (NTT Com; head office: Chiyoda-ku, Tokyo; President and CEO: Toru Maruoka) plans to start providing services in the second half of fiscal year 2025.
The Kansai region centered on Osaka Prefecture is a rapidly growing market for data center businesses, second only to the Tokyo metropolitan area, which is the largest in the Asia-Pacific region. As corporate DX (digital transformation) continues to advance, there is a large demand from local, national, and global companies to provide a wide range of services.
These services include expanding bases for IoT and software development verification and also establishing secondary centers and disaster recovery center bases to promote sustainable management.
In addition, hyperscalers, which are developing large-scale cloud businesses globally, are demanding the expansion of service bases in the Kansai region to expand their business by targeting clients in central and western Japan.
Due to these growing demands, the market size in the Kansai region is expected to expand to about 500MW in power capacity by 2026. To meet these demands, NTT GDC will establish the Data Center in Kyoto Prefecture, and NTT Com will provide the data center related services.
NTT Group is working on IOWN (Innovative Optical and Wireless Network), a network and information processing infrastructure including terminals that can provide high-speed, high-capacity communications and vast computing resources. While accelerating this research, NTT and NTT Com will utilize the Data Center as the hub for providing IOWN-based commercial services in the future.
Against the backdrop of such a strong market in the Kansai region, NTT Group will expand investment in the data center business, aiming for the early realization of IOWN while continuing to meet the market demands.
