TikTok is deepening its footprint in Southeast Asia with a massive new data hosting project in Thailand, signaling that the short video giant is looking beyond US shores amid ongoing regulatory headwinds.
On January 29, Thailand’s Board of Investment (BOI) approved THB 170.5 billion (USD 5.1 billion) worth of new projects, headlined by TikTok’s THB 126.8 billion (USD 3.8 billion) plan to build a data center. The facility, slated to start operations in 2026, will support the platform’s regional user base and expanding e-commerce activities.
“[TikTok’s investment marks] a significant step in enhancing Thailand’s digital and AI infrastructure and supporting the national goal of becoming a digital innovation hub in ASEAN,” said Narit Therdsteerasukdi, secretary general of the Thailand BOI, following a meeting chaired by Pichai Chunhavajira, Thailand deputy prime minister and minister of finance.
Although TikTok faces an uncertain future in the US—where the platform endured a temporary ban in January before negotiations for a sale or restructuring put that ban on hold—it continues to thrive elsewhere. In particular, Thailand has emerged as a crucial market, particularly for TikTok Shop, its e-commerce arm.
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According to a recent report by Momentum Works and Tabcut, Thailand ranked third globally in TikTok Shop’s gross merchandise value (GMV), generating approximately USD 5.7 billion in 2024. It trailed only the US (USD 9 billion) and Indonesia (USD 6.2 billion).
That momentum may explain why TikTok’s parent company, ByteDance, is pouring resources into Thailand. The upcoming data center is expected to reduce latency, enhance security, and support the platform’s expanding network of online merchants—now estimated at nearly 396,000 in Thailand alone.
TikTok’s move aligns with a broader trend of global tech giants investing in Thailand’s digital infrastructure. Amazon Web Services and Google have both announced new cloud and data center projects in the country over the past year, further cementing Thailand’s position as a regional tech hub.
According to the Thailand BOI, foreign direct investment in Thailand’s digital sector surged 35% in value in 2024, reaching a decade-high THB 1.14 trillion (USD 33.9 billion). The influx is largely driven by data infrastructure projects like TikTok’s.
For TikTok, this investment not only strengthens its position in Southeast Asia but also provides a hedge against geopolitical risks. While regulators continue to debate TikTok’s US fate, the company is fortifying its global presence, ensuring that even if it faces restrictions in one market, its business remains resilient elsewhere.