While TikTok’s fate in the US hangs in the balance, the Bytedance-owned company is doubling down on Southeast Asia — and Thailand is the next big play.
TikTok is going all in on Thailand’s cloud race, dropping $3.76 billion for a massive data hosting investment. Set to go live in 2026, the project will support the activities of TikTok’s affiliated companies, according to Thailand’s Board of Investment.
TikTok’s big bet on Thailand comes as it navigates uncertainty in the US, with President Donald Trump giving it 75 days to find a domestic buyer or risk a shutdown. Beyond data centers, this move is expected to be a game-changer for local and regional tech startups, potentially fueling more innovation across Southeast Asia.
Investment magnates
Thailand has become a hotspot for Big Tech, thanks to its booming digital economy, prime location in Southeast Asia, and government perks that make it a magnet for global players.
The country’s data center revenue is expected to hit $2.44 billion this year and reach $3 billion by 2029, according to Statista. And tech giants don’t want to miss out. Google is dropping $1 billion on a new data center, while Amazon’s AWS is all in with a $5 billion commitment through 2037.
At the same time as TikTok, Thailand also approved a 3.25 billion baht ($96.38 million) investment from Siam AI Corporation, a Thai cloud partner of Nvidia, to expand AI applications in the country.Â
For TikTok, this investment is more than cloud expansion — it’s also about staying on the safe side of regulations in a country with more than 50 million users. Thailand is TikTok’s third-largest e-commerce market globally after the US and Indonesia, generating $5.7 billion in gross sales last year, according to Momentum Works.Â
A major data hub in Thailand could serve as a strategic safeguard to keep things running smoothly in the country and region, lowering the risk of service disruptions.
What’s the play?
Big Tech’s investments in Thailand are giving a serious boost to the country’s digital ecosystem, local businesses, and consumers, says Tawikarn Kingthong, general manager of research firm Yamada & Spire Thailand.
It’s all tipped to boost GDP through construction, creating more skilled jobs with competitive pay, and reducing reliance on foreign data services — keeping more money in the country as a result. Local businesses can also expect a productivity kick, thanks to affordable pricing on digital services.
“Local data centers simplify IT for businesses, so they can focus on what really matters,” Kingthong tells MONIIFY.
For manufacturers, that’ll mean faster data processing, while industries like healthcare, automotive (think usage-based insurance) and tech benefit from real-time capabilities. Meanwhile startups, both local and regional, can also tap into the resources Big Tech is bringing to the table.
As for Bytedance, it’s all about TikTok integration, cross-border selling, and slashing customer acquisition costs, says Gavin Teo, general partner at Altara Ventures. Startups can grow through performance-based marketing and influencer partnerships, plus Bytedance’s cloud services and talent pipeline will help upskill the local tech workforce.
“Startups can grow smarter, faster, and cheaper while attracting more investment from VCs and big corporates,” says Teo. Once the benefits start flowing, Thailand will be hoping TikTok isn’t the last big name tech player knocking on its door.
Edited by Tim Hume. If you have any tips, ideas or feedback, please get in touch: talk-to-us@moniify.com
