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Digital Realty is set to enter the Malaysian market through the acquisition of CSF Advisers, owner of the TelcoHub 1 data center in Cyberjaya
In sum – what to know:
Malaysia added to Digital Realty’s footprint – The acquisition brings an operational 1.5MW facility in Cyberjaya plus land supporting up to 14MW of future capacity into its Southeast Asia platform.
Connectivity is the core asset – TelcoHub 1 hosts over 6,000 fiber cores and 40+ network providers, positioning it as a regional interconnection hub rather than a pure capacity play.
Regional diversification continues – The move complements Digital Realty’s existing presence in Singapore and Jakarta, offering customers an additional Southeast Asian location for cloud and AI workloads.
U.S.-based data center firm Digital Realty has agreed to enter the Malaysian market through the acquisition of CSF Advisers, owner of the TelcoHub 1 data center in Cyberjaya, one of Greater Kuala Lumpur’s established data center hubs. The move expands Digital Realty’s footprint in Southeast Asia and adds a new location to its regional platform.
TelcoHub 1 is an operational 1.5MW facility and one of Malaysia’s largest dark fiber interconnection sites, hosting more than 6,000 cores of regional and long-haul fiber. The data center facility supports over 40 network service providers and provides access to major platforms including AWS, Google, MY IX and DE-CIX ASEAN.
Alongside the data center acquisition, Digital Realty has agreed to purchase adjacent land capable of supporting up to 14MW of additional IT load, creating a pathway for future expansion. The transactions are expected to close in the first half of 2026, subject to customary conditions.
Once completed, the Cyberjaya campus will be integrated into Digital Realty’s PlatformDigital, allowing customers to deploy infrastructure within a standardized, interconnected environment as cloud and AI workloads scale. The company also plans to introduce its ServiceFabric interconnection platform at the site.
“Malaysia plays an increasingly important role in the region’s digital ecosystem as hyperscalers, enterprises and platforms scale up, and infrastructure requirements evolve toward greater resilience, interconnection, and readiness for more complex workloads,” said Serene Nah, managing director and head of Asia Pacific at Digital Realty.
CSF Advisers’ chairman and CEO Billy Lee, along with the local management team and more than 40 employees, will join Digital Realty following the transaction.
“Malaysia is currently in a sustained scale-up phase for digital infrastructure, with total data center capacity projected to grow from 1.26 gigawatts in 2025 to 2.53 gigawatts by 2030,” Lee said.
Digital Realty already operates data centers in Singapore and Indonesia. Within APAC, the company also has facilities in Hong Kong, Japan, South Korea, India, and Australia.
In October 2025, Digital Realty president and CEO Andy Power told investors during the company’s third-quarter conference call, that the buildout of AI infrastructure is still in its early stages, and demand for connected, power-dense data centers will remain strong for years to come,
“As digital transformation, cloud, and AI continue to grow, our ability to deliver scalable, connected infrastructure across key metros worldwide is more critical than ever,” Power said. He added that PlatformDigital’s global reach and product range position the company to serve the “evolving needs of cloud providers, enterprises, and service partners.”
Power described an environment of “unprecedented demand fueled by the digitization of enterprise business processes, the expansion of cloud, and the ongoing proliferation of AI.” But, he noted, that meeting demand in major markets is becoming increasingly complex due to “power availability, permitting challenges, and infrastructure constraints.”
Despite these hurdles, the executive said Digital Realty’s established metro presence and relationships with utilities and local governments give it an edge in delivering new capacity “efficiently and reliably where and when our customers need it.”
