California: As per reports, Google announced on Monday a significant investment of 36 billion Thai baht (approximately $1 billion) into Thailand, aimed at establishing a new data center and enhancing the country's cloud infrastructure. This marks a notable expansion of Google's presence in Asia, with artificial intelligence (AI) at the core of its international growth strategy, amid increasing competition from companies like Microsoft and OpenAI.
This investment will create Google’s first data center in Thailand, to be located in Chonburi, an eastern province. According to a statement from Jackie Wang, Google’s Thailand country lead, the facility will help meet the rising demand for Google Cloud services and AI innovations. It will also support popular Google products like Google Search, Google Maps, and Google Workspace across the country.
Wang emphasised that beyond infrastructure development, the investment is focused on unlocking new opportunities for businesses, educators, and the general public in Thailand. As AI continues to reshape industries, educating and upskilling Thais in the use of this technology is crucial, Wang noted in a blog post.
Thailand's digital economy, the second-largest in Southeast Asia, is forecasted to reach $50 billion by 2025, according to a 2023 report by Google, Temasek, and Bain & Company. Google's investment in the region reflects its commitment to advancing AI and cloud computing, at a time when it faces stiff competition from rival tech giants in these fields.
Although Google remains a global leader in search engine technology, it is under growing pressure from the rise of generative AI tools like OpenAI’s ChatGPT. These innovations, based on transformer models pioneered by Google’s early research, are now challenging the company’s dominance in the search and AI landscape.
In a related development, Google recently filed an antitrust lawsuit with the European Commission, accusing Microsoft of leveraging its dominant position in the cloud industry to stifle competition.
This latest investment signals Google's broader efforts to solidify its presence in the region and remain competitive in the rapidly evolving tech landscape.