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Hong Kong's Data Centre Expansion: A Strategic Move Towards AI Integration

3/28/2026, 9:57:21 PM

Major Data Centre Construction Begins

Construction has commenced on a significant data centre in Hong Kong's Northern Metropolis, aimed at enhancing the city's computing capabilities and supporting China's national artificial intelligence (AI) initiatives. The groundbreaking ceremony for the Range (Hong Kong) Sandy Ridge Data Facility Cluster, which covers over 110,000 square meters, was officiated by Secretary for Innovation, Technology and Industry Sun Dong. He emphasized that this project represents a pivotal advancement in Hong Kong's innovation and technology landscape, reinforcing the city's role as a data connectivity hub between China and the global market.

China Mobile's Investment in Hong Kong

In a parallel development, China Mobile has invested nearly HK$10 billion (approximately US$1.28 billion) over five years to integrate Hong Kong into China's national computing network. The company inaugurated a new data centre in northern Hong Kong, which is part of a broader strategy to position the city as a global computing hub. Chen Zhongyue, executive director and chairman of China Mobile, stated that the goal is to fully integrate Hong Kong's computing power into the national network, enhancing its significance in the global computing landscape.

Economic Implications and Future Prospects

The new data centre is expected to connect with multiple national computing hubs in mainland China, facilitating digital economy cooperation across the Guangdong-Hong Kong-Macau Greater Bay Area and along the Belt and Road Initiative. Leung Chun-ying, vice-chairman of the Chinese People’s Political Consultative Conference, noted that Hong Kong must align more closely with national development strategies, particularly in sectors reliant on high-performance computing, such as finance, AI, and biomedicine.

The Hong Kong government recently announced a land tender for a data park in the Northern Metropolis, awarded to mainland firm Range Intelligent Computing Technology. This project is projected to attract HK$23.8 billion in investment over its initial three years and generate HK$4.6 billion in economic output. Acting Financial Secretary Michael Wong Wai-lun highlighted that the introduction of high-performance computing platforms, including China Mobile’s global intelligent computing centre, would significantly enhance Hong Kong's overall computing capacity and bolster its AI industry.

Official Statements & Responses

The Hong Kong government has initiated a HK$3 billion funding scheme for AI, which has already approved nearly 30 projects in diverse fields such as large language models and biomedicine. Additionally, plans are underway to establish a HK$10 billion innovation and technology industry guidance fund, anticipated to attract at least HK$30 billion in long-term market capital, focusing on AI and other technological sectors.

Criticism & Opposition

While the developments have been largely welcomed, some critics express concerns regarding the implications of deeper integration with mainland China's computing infrastructure. They argue that this could lead to increased surveillance and control over data, potentially impacting Hong Kong's autonomy and privacy standards.

Verbatim Quotes

“Over the next five years, Hong Kong is expected to become a key gateway connecting the mainland with the global digital economy,” — Leung Chun-ying, Vice-Chairman of the Chinese People’s Political Consultative Conference.

“The cluster is a key project for innovation and technology development in Hong Kong’s Northern Metropolis, and will further solidify the city’s leading position as a data connectivity hub connecting China and the world,” — Sun Dong, Secretary for Innovation, Technology and Industry.