Alibaba to build data center in Vietnam

Chinese tech giant Alibaba intends to construct a data center in Vietnam to locally store data to align with the country’s legal requirement.

Dang Minh Tam, the lead solution architect at Alibaba Cloud, told Nikkei Asia that the company currently rents spacefrom state-owned firms Viettel and VNPT to host client data locally.

It also backs up its data at sever farms in other countries such as Indonesia and Singapore.

But eventually it wants to build a data center in Vietnam to cater to the increasing demand in one of Asia's rapidly expanding economies, Tam said.

"Vietnam is a very [high] potential market," Tam said in an interview. "There's a lot of space to grow."

Vietnam in 2022 required international companies to store Vietnamese users’ data in the country and set up offices locally.