NUSAJAYA: VADS Bhd is investing RM130 million to build its a two-phase, purpose-built data centre in Nusajaya Tech Park, as part of its strategy to cater to the growing demand for data business in the region.

Chief excutive officer Massimo Migliuolo said the first phase of the data centre would comprise a built-up area of 30,000 sq ft on a 3.213ha piece of land.

"The expansion for the second phase will be based on market requirements. 

"What is important is that the market is growing very fast and the industry demands purpose-built data centre," he told reporters after the ground breaking ceremony for the centre by Johor Menteri Besar Datuk Seri Mohamed Khaled Nordin on Monday.

The first phase is expected to be completed in the first quarter of 2017, Migliuolo said.

VADS Data Centre, which is a carrier neutral data centre, would also house Telekom Malaysia (TM) Iskandar international gateway, that would serve as a regional hub in providing services such as end-to-end managed information communication technology (ICT) services, cloud services via digital marketplace and high-speed broadband connectivity to its Malaysia and Asean customers.

Meanwhile, TM group chief executive officer Tan Sri Zamzamzairani Mohd Isa said the growth trend of data businesses has been growing quite steadily over the years.

"Over the past two years, data businesses for the group have been growing about 26%. If you look at that, certainly the trend will continue, which is one of our important components in the business," he said.

In terms of contribution to the group, Zamzamzairani said non-voice business had become a major contributor with 70% contribution since 2012, with data businesses continuing to contribute to that segment.

VADS, which is a wholly-owned subsidiary of TM, provides managed integrated ICT/business process outsourcing services. - Bernama