AIS makes its sovereign play in Thailand

• All kinds of companies are battling to be the key providers of sovereign cloud and AI services across South-east Asia
• In Thailand, telco AIS has launched its own hyperscale cloud infrastructure, based on Oracle cloud technology to service domestic customers
• But it faces plenty of competition 

Thai network operator AIS (Advanced Info Service) is tapping into demand for sovereign cloud and AI services with the launch of AIS Cloud, which it describes as  Thailand’s first hyperscale infrastructure and “the only service of its kind operated entirely by a Thai company, with local datacentres located within the country and governed by Thai law.”

The launch comes less than a year after AIS struck a deal to develop its sovereign services on Oracle’s cloud infrastructure – see AIS targets sovereign cloud leadership with Oracle deal.

AIS has invested 4bn Thai baht ($123m) in its own datacentre facilities, which house Oracle Alloy cloud hardware, software and applications, and is now pushing a strong sovereign agenda. 

The operator’s business-to-business (B2B) division, AIS Business, notes in this announcement that “digital disruption… geopolitical volatility [and] the rapid rise of AI as a tool to enhance competitiveness” are putting increasing pressure on businesses to “modernise their digital infrastructure.” In addition, “the development of AI requires massive volumes of data, making it critical for such data to be stored and processed locally, under Thai jurisdiction. This not only ensures digital sovereignty and data security but also mitigates long-term risks related to policy compliance, governance and operational continuity.”

To meet the sovereign needs of the country’s near 2 million registered businesses, AIS has developed “locally tailored services” that feature “contract execution in the Thai language, service billing in Thai Baht to mitigate foreign exchange risks, and post-sales support delivered by Thai professionals in the local language.”

Phupa Akavipat, chief enterprise business officer at AIS (pictured above), stated: “We firmly believe that Thailand must have its own AI capabilities to ensure long-term technological sovereignty and resilience. At AIS, we are convinced that ‘digital infrastructure owned and operated by Thais’ is the cornerstone of national development in the digital era. That belief underpins our continued investment in world-class digital infrastructure through collaboration with global technology leaders.”

He added: “AIS has also launched AIS NaaS [network-as-a-service], a new solution that empowers enterprises to manage and configure their network usage independently via a self-service portal… AIS Business is committed to becoming a key platform for digital and AI transformation across both public and private sectors. By integrating capabilities across connectivity, data storage and processing, and delivering end-to-end cloud solutions, ranging from hybrid and multicloud architectures to fully integrated application programming interfaces (APIs), we reaffirm our dedication to driving Thailand toward a leadership position in digital technology across the region.”

AIS faces plenty of competition in the sovereign cloud/AI market, though. True Internet Data Center (True IDC) recently launched what it described as “Thailand’s first AI hyperscale datacentre,” a move that reinforced its “commitment to advancing the nation’s digital infrastructure to support the new economy and positioning Thailand as the digital hub of ASEAN [Association of South-east Asian Nations].” True IDC is owned by Charoen Pokphand Group (CP), the joint leading stakeholder (alongside Telenor) in True Corp, AIS’s main domestic telco rival.

The hyperscale datacentre operators are investing in the country to offer local services, with Amazon Web Services (AWS) announcing its Thailand infrastructure region in January this year, Google Cloud announcing its $1bn investment in the country in October 2024 as well as teaming up with Gulf Edge to offer sovereign cloud services in Thailand, and Microsoft unveiling its datacentre plans for the country in May 2024.   

In addition, Siam.ai is developing sovereign cloud and AI services for Thai customers in partnership with AI tech giant Nvidia, while Alibaba Cloud has invested in a second datacentre in the country. 

- Ray Le Maistre, Editorial Director, TelecomTV