Quisumbing Torres publishes a guide to developing and operating data centers in the Philippines

Manila, September 1, 2022 – The infrastructure needs of the Philippines are changing as the world transitions to a more digitized economy.

The Philippines recorded one of the highest growth rates as an emerging data center market alongside Malaysia and Thailand, supporting the active digital profile of Filipinos. As the Philippines holds the second largest subscriber base in the Asia-Pacific region, hyperscalers are motivated to expand their technology and communications infrastructure throughout the archipelago. The Philippines has attracted data center operators due to the high digital consumption of the local population. The Philippines’ internet economy in gross merchandise value doubled to USD 17 billion in 2021, driven by government initiatives and massive digital adoption due to the pandemic. Data shows that the number of internet and social media users in the Philippines grew by 6.1% in 2020 and 22% in 2021, with 89 million active social media users in 2021. – People in the know with a stronger digital appetite and adoption of technology. The latest statistics show that the Philippines has 74 million internet users who spend 10.5 hours online, the longest in the world.

The Arcadis Data Center Location Index 20213 ranked the Philippines as one of the most attractive countries for data center construction in the world. The COVID-19 pandemic has significantly boosted the Philippines data center market, given the growing reliance on technology. This has resulted in increased adoption of colocation by existing customers and significant investment in new data centers and cloud regions. The growing demand for colocation, internet and cloud services has necessitated the establishment of sophisticated facilities in the country.

Getting to Quisumbing Torres Development and operation of data centers in the Philippines to learn more about key legal issues for data center investors. The guide provides relevant regulatory information, including issues and considerations related to:

  • Foreign Investment Controls
  • Data (i.e. privacy, telecommunications laws, cybersecurity, data localization, antitrust)
  • Tax
  • Mergers & Acquisitions
  • Funding
  • Sustainability
  • Immovable

DOWNLOAD A COPY


Author
Alain Charles J. Veloso

Alain Charles Veloso is a partner in the Corporate and Commercial Practice Group of Quisumbing Torres. He leads the firm’s capital markets practice group and is a member of the competition focus group. He is also a member of the Technology, Media and Telecommunications and Industry, Manufacturing and Transportation groups. He participates in Baker McKenzie International initiatives of which Quisumbing Torres is a member firm. He is a member of the Baker McKenzie Asia Pacific Competition Steering Committee. He has 15 years of legal practice, advising clients on their transactions in the Philippines, including private and public M&A transactions, capital and debt markets transactions, as well as structuring and lending. establishing their presence in the Philippines. Charles also develops the firm’s fintech practice and manages various clients who are currently engaged in online travel, retail, financing, medical health and insurance businesses in the Philippines. Charles is also active in the firm’s corporate social responsibility initiatives. He leads the firm’s Inclusion & Diversity and B-Green committees. He is currently the Director of the Makati Section of the Integrated Bar Association of the Philippines (IBP) and currently chairs its Diversity and Inclusion Committee. He was recognized as External Counsel of the Year in Asia by The Asian-MENA In-House Community Counsels in 2019, and named as the Next Generation Corporate and M&A Lawyer by Legal 500 for 2017 and 2018. He was also a 2018 Bench Member and Bar Recipient of the Integrated Bar of the Leyte Chapter in the Philippines. He was awarded Young Lawyer of the Year by Asian Legal Business Philippine Law Awards 2020 and as Leading Individual in Capital Markets by The Legal 500 Asia Pacific 2020 to 2022. He received Client Choice Awards for Competition from Lexology 2021. Charles studied law at UP College of Law (cum laude and valedictorian) and EU competition law at the London School of Economics and Political Science in 2017. He is also a chartered accountant approved.

Ramon J. Espinoza