Summit Group sets sights on Bangladesh’s first data center

Summit Group, one of Bangladesh’s largest business conglomerates, is preparing to enter the country’s fast-emerging data center market. Sources say the company aims to partner with an external business entity by next year, marking a significant step toward building what could become Bangladesh’s first large-scale data center.

The facility would harness the gas generation capacity of Summit Power International, a senior Summit official told The Financial Express on Sunday.

He admitted, however, that the company’s transition away from its gas-heavy portfolio has been slow, even as Bangladesh intensifies efforts to cut carbon emissions.

“Our next phase of growth is about integrating energy and data,” the official said, highlighting Summit’s expertise in LNG and fiber optics as key assets.

Summit Power currently contributes 7 per cent of Bangladesh’s total installed capacity through 10 gas-fired and five oil-fired plants. The group also owns Summit Communications, which operates a nationwide fiber-optic network that delivers nearly half of the country’s internet traffic.

Industry analysts note that demand for data centers in Bangladesh is rising rapidly, driven by surging smartphone use, cloud services, and artificial intelligence applications. Government-backed initiatives—such as broadband expansion and digital infrastructure projects supported by the Japan International Cooperation Agency (JICA)—are further fueling growth.

The recently adopted Personal Data Protection Ordinance is expected to increase demand for domestic data centers by restricting the transfer and processing of personal data abroad. Yet, private investment in the sector remains limited, with most facilities still small-scale due to weaknesses in power and internet reliability.

Despite these challenges, experts believe Bangladesh has strong potential to evolve into a regional data center hub. Summit is now seeking partners with proven experience in building and marketing such facilities.

Speed, the official emphasized, will be Summit’s competitive edge. With electricity, fiber, and land already under its control, the group expects to deliver operational data centers within 18 months—far faster than the industry norm of several years.

Azizjst@yahoo.com