Digital Realty Launches Data Center Operations in Malaysia
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Source: Newsfilter
- Asia Pacific Expansion Milestone: Digital Realty has launched its data center operations in Cyberjaya, Malaysia, with plans to scale its data center capacity to approximately 32 megawatts, marking a significant step in its Asia Pacific expansion and expected to enhance the company's competitive position in the region.
- Facility Layout and Upgrades: The new facilities include KUL10 and KUL11, with IT capacities of 1.5MW and 15MW respectively, and KUL10 is set to nearly double its capacity by Q4 2027, supporting AI and high-performance computing workloads to enhance service capabilities.
- Future Expansion Plans: On a 1.6-acre land parcel adjacent to KUL10, Digital Realty plans to develop a new 14MW data center targeted for completion in mid-2028, designed to support hybrid colocation and AI-ready deployments, further solidifying its market position in Malaysia.
- Commitment to Digital Infrastructure: Digital Realty's investment will support Malaysia's ambition to become a leading digital infrastructure and AI hub in Southeast Asia, fostering innovation and attracting investment, thereby aiding the sustainable growth of Malaysia's digital economy in line with national digital strategy goals.
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Analyst Views on DLR
Wall Street analysts forecast DLR stock price to rise
18 Analyst Rating
15 Buy
2 Hold
1 Sell
Strong Buy
Current: 188.700
Low
139.00
Averages
189.06
High
220.00
Current: 188.700
Low
139.00
Averages
189.06
High
220.00
About DLR
Digital Realty Trust, Inc. is a real estate investment trust. The Company owns, acquires, develops, and operates data centers through its operating partnership subsidiary, Digital Realty Trust, L.P. The Company is focused on providing data center, colocation, and interconnection solutions for domestic and international customers across a variety of industry verticals ranging from cloud and information technology services, communications and social networking to financial services, manufacturing, energy, healthcare, and consumer products. Its portfolio consists of over 308 data centers, of which 121 are located in the United States, 112 are located in Europe, 36 are located in Latin America, 16 are located in Africa, 16 are located in Asia, six are located in Australia and three are located in Canada. Its PlatformDIGITAL is a global data center platform for scaling digital business which enables customers to deploy their critical infrastructure with a global data center provider.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Digital Realty Launches Data Center in Malaysia
- Global Network Integration: Digital Realty's establishment of a data center in Cyberjaya, Malaysia, with a planned capacity of approximately 32 megawatts, marks a significant milestone in its Asia Pacific expansion, expected to enhance the company's competitiveness in the global data center market.
- Facility Upgrade Plans: The KUL10 data center will upgrade from 1.5 megawatts of IT capacity, nearly doubling by Q4 2027, enhancing service capabilities to meet the growing demand for cloud and AI, further solidifying Malaysia's position as a digital infrastructure hub.
- Multi-Site Deployment: The newly constructed KUL11 data center, designed for AI and high-performance computing, features 15 megawatts of IT capacity with energy-efficient designs, supporting sustainable growth and likely attracting more enterprises to deploy digital infrastructure in Malaysia.
- Strategic Investment Commitment: Digital Realty's investment not only supports Malaysia's digital economy but also facilitates low-latency workload deployment through connections to over 300 global data centers, further positioning Malaysia as a digital hub in Southeast Asia.
See More
Digital Realty Launches Data Center Operations in Malaysia
- Asia Pacific Expansion Milestone: Digital Realty has launched its data center operations in Cyberjaya, Malaysia, with plans to scale its data center capacity to approximately 32 megawatts, marking a significant step in its Asia Pacific expansion and expected to enhance the company's competitive position in the region.
- Facility Layout and Upgrades: The new facilities include KUL10 and KUL11, with IT capacities of 1.5MW and 15MW respectively, and KUL10 is set to nearly double its capacity by Q4 2027, supporting AI and high-performance computing workloads to enhance service capabilities.
- Future Expansion Plans: On a 1.6-acre land parcel adjacent to KUL10, Digital Realty plans to develop a new 14MW data center targeted for completion in mid-2028, designed to support hybrid colocation and AI-ready deployments, further solidifying its market position in Malaysia.
- Commitment to Digital Infrastructure: Digital Realty's investment will support Malaysia's ambition to become a leading digital infrastructure and AI hub in Southeast Asia, fostering innovation and attracting investment, thereby aiding the sustainable growth of Malaysia's digital economy in line with national digital strategy goals.
See More
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Digital Realty Launches Data Center in Malaysia
- Global Network Integration: Digital Realty's establishment of a data center in Cyberjaya, Malaysia, with a planned capacity of approximately 32 megawatts, marks a significant milestone in its Asia Pacific expansion, expected to enhance the company's competitiveness in the global data center market.
- Facility Upgrade Plans: The KUL10 data center will upgrade from 1.5 megawatts of IT capacity, nearly doubling by Q4 2027, enhancing service capabilities to meet the growing demand for cloud and AI, further solidifying Malaysia's position as a digital infrastructure hub.
- Multi-Site Deployment: The newly constructed KUL11 data center, designed for AI and high-performance computing, features 15 megawatts of IT capacity with energy-efficient designs, supporting sustainable growth and likely attracting more enterprises to deploy digital infrastructure in Malaysia.
- Strategic Investment Commitment: Digital Realty's investment not only supports Malaysia's digital economy but also facilitates low-latency workload deployment through connections to over 300 global data centers, further positioning Malaysia as a digital hub in Southeast Asia.
See More
Digital Realty Launches Data Center Operations in Malaysia
- Asia Pacific Expansion Milestone: Digital Realty has launched its data center operations in Cyberjaya, Malaysia, with plans to scale its data center capacity to approximately 32 megawatts, marking a significant step in its Asia Pacific expansion and expected to enhance the company's competitive position in the region.
- Facility Layout and Upgrades: The new facilities include KUL10 and KUL11, with IT capacities of 1.5MW and 15MW respectively, and KUL10 is set to nearly double its capacity by Q4 2027, supporting AI and high-performance computing workloads to enhance service capabilities.
- Future Expansion Plans: On a 1.6-acre land parcel adjacent to KUL10, Digital Realty plans to develop a new 14MW data center targeted for completion in mid-2028, designed to support hybrid colocation and AI-ready deployments, further solidifying its market position in Malaysia.
- Commitment to Digital Infrastructure: Digital Realty's investment will support Malaysia's ambition to become a leading digital infrastructure and AI hub in Southeast Asia, fostering innovation and attracting investment, thereby aiding the sustainable growth of Malaysia's digital economy in line with national digital strategy goals.
See More
REIT Stocks Show Strong Performance Amid Economic Uncertainty
- Market Recovery: So far this year, REIT stocks have performed quite well, with the FTSE Nareit All Equity Index (BREBX) rising approximately 9.8% year-to-date, closely aligning with the S&P 500's 10% increase, indicating a growing recognition of REITs in the market.
- Significant Earnings Growth: In Q1, REITs reported a 15% year-over-year increase in funds from operations (FFO), with nearly 70% of REITs achieving positive earnings growth, reflecting a broad-based improvement in profitability across the sector and indicating overall market health.
- Favorable Supply-Demand Dynamics: The limited new supply and stabilized cap rates between 3.5%-4.5% support the fundamentals of REITs, particularly in sectors like data centers and senior housing, where demand continues to grow, suggesting a positive outlook for the future.
- Potential for Rent Increases: The improved supply-demand balance is likely to lead to higher occupancy rates, which can drive rent increases, directly impacting REITs' operating income and shareholder returns, thereby enhancing investor confidence.
See More
Analysis of USRT Stock Performance and ETF Dynamics
- Stock Price Analysis: USRT's 52-week low is $55.34 per share, with a high of $66.16, and the last trade at $64.32 indicates price fluctuations near the high, potentially influencing investor buying decisions.
- Technical Analysis Tool: Comparing the current stock price to the 200-day moving average can provide valuable insights for investors, helping to assess market trends and identify potential buying opportunities.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding for ETFs helps identify those experiencing significant inflows (new units created) or outflows (old units destroyed), allowing assessment of their impact on underlying assets and market sentiment.
See More
Analysis of Valuation Grades for U.S. Large-Cap REITs
- Valuation Overview: According to Seeking Alpha's valuation grades, several U.S. large-cap and mega-cap REITs are among the least attractively valued stocks in the market, indicating a lack of appeal compared to their peers.
- Valuation Scoring Criteria: The grades are based on a comprehensive set of valuation metrics, including P/E, PEG, EV/Sales, EV/EBITDA, and others, providing a holistic view of a stock's relative value.
- List of Low-Valuation Companies: Among the 10 least attractively valued large-cap and mega-cap REITs, Digital Realty Trust (DLR), Equinix (EQIX), and Prologis (PLD) received an F grade, highlighting their low investment attractiveness in the current market.
- Market Response and Outlook: Despite these REITs achieving strong quant ratings post-Q1 earnings, their low valuations may limit future stock price appreciation, prompting investors to carefully assess their long-term investment potential.
See More
Top Companies in AI Adoption Revealed
- AI Adoption Scores: A new study from the AI-Driven Enterprise Institute reveals that Nvidia, Meta, and Schlumberger lead S&P 500 companies with perfect scores of 100, showcasing their exceptional performance in AI technology implementation and solidifying their market leadership in their respective industries.
- Industry Impact: Nvidia, as the world's largest chipmaker, drives technological advancements across the industry through its pivotal role in AI model and service development, while Meta and Amazon demonstrate strong AI application capabilities in communication services and consumer goods, enhancing customer experience and operational efficiency.
- Data-Driven Assessment: The study employs publicly available data such as earnings calls, job openings, and patent applications to objectively evaluate executives' understanding and prioritization of AI, aiding companies in better risk management and investment decisions to enhance overall competitiveness.
- Room for Improvement: Despite the strong performance of leading companies, AIDE's CEO Paul Cheek emphasizes that there is significant room for improvement in AI literacy among board members and executives, highlighting the importance of understanding AI's role in creating value for informed strategic investments in the future.
See More
