AI Boom: Thailand Billionaire Invests Billions

Thailand's wealthiest businessman, Sarath Ratanavadi, plans a substantial investment of up to 140 billion baht ($4.3 billion) over the next five years via Gulf Development Pcl. This capital infusion is earmarked for expanding data centers and other critical infrastructure to support the escalating artificial intelligence boom.

The nation's leading power producer intends to increase its data center capacity by as much as 2,000 megawatts. This ambitious target is driven by the increasing demand for AI and cloud-computing services, a significant growth area identified by Chief Financial Officer Yupapin Wangviwat. Currently, the company and its partners operate facilities with approximately 200 megawatts of capacity.

This strategic move by Gulf Development highlights a wider regional trend across Southeast Asia, where a race is underway to build essential computing power for AI applications. Technology firms are directing considerable investment into data centers to accommodate AI tools and online services, thereby creating new avenues for energy and infrastructure providers.

Sarath Ratanavadi, whose net worth is $18.3 billion, has been diversifying Gulf Development's portfolio into digital infrastructure, virtual banking, and AI-related services since consolidating his businesses last year. The company is strengthening its position through collaborations with entities such as Microsoft Corp., Singapore Telecommunications Ltd., and Alphabet Inc.'s Google.

The Bangkok-based firm anticipates funding this expansion through operational cash flow, bond sales, and bank loans. Discussions are underway with lenders for significant loan amounts, and a bond issuance of about 20 billion baht is planned for September. Gulf Development is also evaluating its first foreign-currency debt offering.