Hello Reader,
As I wrote in issue #76, I took a hiatus for a year-end holiday with my family. I stepped away for a reset, but the industry clearly didn't sleep. The number of developments that happened while I was gone is astounding, including Singapore's DC-CFA2 which I've been tracking for months and can now finally talk about.
For today, I'll dive into Singapore's strategy for data centres, why Asia will remain resilient even in a global crash, and the changing winds on LinkedIn.
Is Singapore three steps ahead?
Singapore's IMDA and EDB announced the start of DC-CFA2 in a press release on 1 December. For those outside the region, the DC-CFA has emerged as the primary route to building new data centres in Singapore and is hence closely watched.
In a nutshell, the DC-CFA2 sets an extremely high bar for data centre operators hoping to get some of the 200MW of promised capacity. This means smaller operators without substantial financial reserves, and operators without data centres in at least one or two other nearby countries, won't stand a chance at all.
Part of the reason the bar is so high for the DC-CFA2 is due to its requirement for at least 50% green energy use. This is a lot, and as far as I am aware, has no precedent as a national policy anywhere else without an abundance of renewables.
The requirement for data centre operators to utilise so much green energy will substantially increase costs. And Singapore is already one of the priciest data centre markets in the world. Does it make sense? Yes, but only if one looks beyond data centres and at what Singapore is trying to do as a nation.
And if you think about how nations are running up against resource constraints, whether around water in Johor or electricity in parts of Thailand, then perhaps Singapore is merely thinking three steps ahead.
Or as Senior Minister of State Dr Janil Puthucheary said at the launch of Google's fourth data centre in Singapore last year: “This challenge [of sustainability] is not unique to Singapore; eventually, all of us, wherever we are in the world, are going to be faced with these constraints.”
Note: I've written a deeper, 1,800-word analysis. It's part of an experiment with paid subscriptions for deeper, insightful pieces. You can read "Singapore's audacious bet on sustainable data centres" here.
Asia's moment in digital infrastructure
So I gave the opening keynote at the w.media Asia Awards Gala two Fridays ago. The funny part was that I never realised it was the opening speech for the evening until around five minutes before the programme started.
I was simply told: "Can you help give a short 5-minute speech?" And that it would be one of three speeches made at the start of the programme. Note to self: Pay more attention to internal communications in the future.
Anyway, as I prepared what to say, it dawned on me that Asia, and Southeast Asia in particular, have incredible room for growth. I don't believe we will do the kind of multi-gigawatt AI training like what we are seeing in certain parts of the world here. Instead, our growth will be fueled by organic demand and AI inference workloads.
Here's a snippet of what I shared on stage:
“
My second and final point is about the organic demand here.
I won't go into numbers, but we know Asia is huge and diverse. Crucially, we need a lot more digital infrastructure just for our own demands.
...
There is ample room for AI growth in Asia. Even if AI models never get any better than what we have right now, they're already good enough to reshape industries for years, even decades. And this will happen through AI inference, which we will want to deploy locally.
My point: whether for on-premises systems, public cloud, or AI workloads – Asia needs many more data centres. Now, you might have heard talk of an AI bubble and an impending crash. Others say there’s no bubble; that we’re at the start of a supercycle unlike anything before.
Here’s how I see it. In the worst case, organic demand in Asia could be our backstop against a global crash. In the best case, the growth in other markets will ripple out to us soon.
Are you ready?
Changing winds
Thank you to everyone who wrote in with kind words and suggestions about how to take Tech Stories forward in 2026. This Saturday, I received an ominous warning from LinkedIn that is probably confirmation that a new strategy is required.
Simply put, attempts to tackle inauthentic content at scale are generating unavoidable false positives. In the meantime, hyperbolic posts top the charts at the expense of balanced content. Taken together, it means LinkedIn is increasingly less optimal for thoughtful, insightful posts; many no longer see my posts.
In the weeks and months ahead, I'll be making changes to adapt. This will mean diverting more of my thoughtful content to Substack for readers who want grounded, on-point updates without being subjected to algorithmic whims. So do sign up as a free (or paid) Substack subscriber at Clearly Tech if you haven't done so yet.
Don't worry though. I'll still post on LinkedIn daily and I do plan to keep sending out this newsletter and my weekly commentaries.
As usual, you can reach me simply by replying to this email. I would love to hear from you.
Regards,
Paul Mah
Content collaboration
Love the way I write? I'm opening up for more content collaborations. If you are looking for event coverage, brand storytelling, or a way to share your unique perspectives with a broader audience, fill in the form
here and I'll get in touch.
