Danang houses $200 million data center to boost regional socio-economic growth
The center is part of the city’s key efforts to cement its role as a high-tech hub in Vietnam.
THE HANOI TIMES — The central city of Danang will host a new hyperscale data center worth US$200 million, developed by global telecom and infrastructure group IPTP Networks.
Leaders of Danang and AIDC DeCenter press the button to launch the project. Photo: Event organizers
The facility, named AIDC DeCenter, will be located in the Danang Hi-Tech Park, Lien Chieu Ward, covering 10,000 square meters, with a capacity for 1,000 rack cabinets and a minimum power load of 10 MW.
The initial phase of the project is valued at $20 million, according to IPTP Networks. Construction is scheduled to start in March 2026, with operations set to begin in 2027.
Tran Chi Cuong, Vice Chairman of the Danang People’s Committee, said that the project is a strategic part of the city’s high-tech industry roadmap.
“The data center project is a strategic driver for Danang's sustainable socio-economic growth and modernization,” Cuong said, adding that the city will provide maximum support to investors.
IPTP Networks CEO Vladimir Kangin said that the facility will be optimized for AI GPU clusters, as artificial intelligence is reshaping computing, storage, and processing.
According to Luu My Kim, Director of IPTP Networks Vietnam, Danang is a North-South transit hub and a landing point for multiple large international submarine cable systems.
“Danang’s advantageous location ensures low-latency transmission. The city currently lacks hyperscale data centers, despite of having more than 5,000 servers,” she said.
The project is expected to boost Danang’s cloud, AI, and IoT ecosystem, while also creating fiscal revenues and supporting services for the Central Highlands region.
Vietnam’s data center market is forecast to grow from 524.7 MW in 2025 to 950.4 MW in 2030, according to Mordor Intelligence and GII Research.
IPTP Networks is a global telecommunications and infrastructure group with more than 70 data centers across 66 cities in 37 countries, serving over 5,000 enterprise customers.
