A-FLOW, the joint venture partnership between FLOW Digital Infrastructure and AyalaLand Logistics Holdings Corporation (ALLHC), has broken ground on its first data centre campus in the Philippines.
The new campus known as ML1 is located in Laguna, Philippines. The carrier-neutral facility will consist of three separate buildings with a total capacity of 36MW. The first phase is expected to be in service by the end of year in 2024 and will provide 6MW capacity.
Ramil L. Hernandez, Governor of Laguna, said: “This initiative will immensely help to boost the Philippine economy by using a platform to help build a better foundation for companies’ digital operations. To A-FLOW, congratulations and thank you for this initiative. Rise high digital infrastructure, rise high Laguna!”
The groundbreaking event follows the launch of the A-FLOW joint venture partnership announced in October 2022, which combines ALLHC’s industrial real estate development experience with FLOW’s data center design, development, and operational capabilities.
“Companies need a reliable partner to help them navigate essential transformations in an increasingly digital world. With digital infrastructure as one of the priorities of the government, I am glad to stand witness to partnerships such as this that will surely benefit thousands of Filipino enterprises,” said Mr. Steve Naguiat, representing Marlyn B. Alonte, a Member of the House of Representatives of the Philippines for Biñan.
Amandine Wang, CEO of FLOW Digital Infrastructure, said of the partnership: “The Philippines is at a tipping point to embrace the growth of the digital economy, where digital infrastructure plays a critical role as the foundation of the information and communications technology industry. We are very pleased to be partnered with ALLHC to deliver best-in-class solutions to meet the Philippines’ growing demand for high quality, carrier-neutral data center services.”
FLOW is a data management company focused on providing physical infrastructure – including data centres, network, and fibre connections – to businesses in underserved markets with ‘substantial unmet demand’. Currently, the company is focused on building out assets in central Japan and in the Philippines.
FLOW was created in 2021 as the data infrastructure investment arm of PAG Real Estate (a part of the Pacific Alliance Group), one of the leading alternative investment firms in the APAC region. PAG’s real estate market investments encompass many of the primary data centre markets in APAC, including Mumbai, Singapore, Hong Kong, Shanghai, Beijing, and Tokyo.
The Philippines data centre market is growing quickly, driven by increased customer demand and regulations, like CREATE, which offer a favorable tax environment for mid to large-sized corporations. The data centre market in the Philippines is expected to attract new investments totalling $635 million by 2027.
“With A-FLOW, we take pride in contributing to the country’s fast-growing needs and transition towards a digital economy. As we mark the beginning of the development of our first data center campus, we at ALLHC and FLOW look forward to serving enterprises and global hyperscalers, and eagerly anticipate their continued growth with us,” said Patrick Avila, COO of ALLHC.
The ML1 data centre groundbreaking by A-FLOW was attended by senior executives from both companies, as well as a number of government officials from the Province of Laguna and City of Biñan, and members of the Department of Information and Communications Technology (DICT) and Board of Investments (BOI).