Princeton Digital Group to Boost Asian Data Centre Capacity by 200 Percent

Princeton Digital Group plans to boost data centre capacity in its core Asian markets by as much as 200 percent over the next 12 to 24 months, chairman and CEO Rangu Salgame said this week.

The company currently operates and develops 1.8 gigawatts across eight markets, focusing expansion on India, Japan, Malaysia, Singapore and Indonesia while acquiring land in Australia and South Korea.

Capital demands from hyperscale cloud operators dictate the aggressive schedule. A typical 200-megawatt facility demands roughly $2 billion for property and shell infrastructure, while tenant tech giants commit an additional $6 billion for chips, servers and high-speed networking gear.

Funding the Hyperscale Buildout

Warburg Pincus and Stonepeak back the developer, which outlined intentions in March to raise up to $5 billion in debt this year. That debt drive follows $2.5 billion gathered in 2025, anchored by a $1.3 billion preferred equity commitment from Stonepeak.

Delivery schedules remain rigid because idle semiconductors burn capital without generating revenue. Hyperscalers allocate contracts strictly to builders capable of completing grid connections and cooling systems without slippage.

Refocusing the Indonesian Footprint

Asset sales reflect this prioritization of massive wholesale campuses over scattered corporate server rooms. PDG reached an agreement last week to offload five operational Indonesian enterprise sites to conglomerate Sinar Mas for an unstated amount.

Enterprise colocation no longer matches the firm’s capital allocation model. Retaining roughly 400 megawatts in Indonesia, PDG concentrates resources on its JC2, JC3 and JC4 mega-campuses.

Expanding South Korea and Australia

Geographic diversification relies on existing multinational clients asking the operator to follow them into mature markets. The group bought a Sydney location earlier this year, hired former energy executive Scott Thomas as country general manager, and now reviews land parcels in Melbourne.

North Asian momentum centers on Incheon, where the operator entered South Korea last November by backing a $700 million, 48-megawatt project with ESR. That development forms the foundation of a 500-megawatt domestic rollout.

Building Out the Pipeline

PDG entered Indonesia originally in 2019 after acquiring a 70 per cent stake in telecom carrier XL Axiata’s data facilities. Five years of portfolio turnover shifted that regional foundation from telecom integration into pure-play hyperscale real estate.

Work East of Jakarta continues on the JC3 campus, a $1 billion, 120-megawatt development that broke ground last November. That project and the initial Incheon phase stand as the primary targets before the South Korean asset begins commercial operations in 2028.