NTT Thailand, the local operating unit of the Japan-based technology firm, expects continued strong growth for its business this year, driven by an upsurge in cloud service usage and digital transformation pursued by enterprises.
"Thailand's IT enterprises will continue to grow despite economic turmoil as businesses keep investing in new technologies to survive and thrive during this volatile situation," said Sutas Kongdumrongkiat, chief executive of NTT Thailand, which also oversees sales in Cambodia, Myanmar and Laos.
Cloud-based services have grown rapidly, supported by flexible payment conditions, such as pay-per-use, as well as engagement in remote or hybrid work and the rollout of new services.
Mr Sutas said cloud services are the firm's flagship operation in the Thai market.
"We win large multi-year cloud-based projects here," he said.
The strong growth of its cloud services offset a decline in its traditional IT hardware and connectivity projects, said Mr Sutas.
In 2020, NTT invested 500 million baht to build Bangkok 2 Data Centre's third-phase facility, or the High-Density Data Centre, located in Amata City Chonburi Industrial Estate in Chon Buri province.
The company plans to develop the fourth and final phase by the end of this year, adding 1.8 megawatts of power capacity. This latest phase can support future growth of S-curve businesses in the Eastern Economic Corridor.
He said data centre business will continue to grow in tandem with the increasing adoption of Internet of Things, robotics, artificial intelligence, 5G and cloud services.
In moving towards cloud services, various enterprises need to modernise their IT infrastructure, develop necessary applications and handle data migration, said Mr Sutas.
Moreover, cross-sector mergers and acquisitions, such as banks acquiring fintech firms, propel demand for digital transformation and upgraded infrastructure that can accommodate the integration, he said.
In September last year, NTT announced an 18-month plan to increase its data centre operations by 20% to a total of more than 600,000 square metres of floor space in over 20 countries.
The company indicated it was considering further expansion in Bangkok as well as Osaka, Japan and southern Vietnam.
NTT recently pledged to achieve net zero emissions across its operations and 100% renewable energy usage in its data centre operations by 2030.
The company also vowed to grow its portfolio of smart solutions to support its clients and partners in decreasing 200 million tonnes of greenhouse gas emissions by 2026 and establish a Sustainability Innovation Fund to incubate ideas and scale the impact of climate tech and sustainable solutions.