What Does Nxera Do? Singtel's AI Data Center Arm Across Southeast Asia

Nxera is Singtel Group's regional data centre arm — the AI-ready halls inside Digital InfraCo, Singtel's digital infrastructure unit. In January 2026 it opened DC Tuas, a 58 MW multi-tenant facility that lifted Singapore capacity to 120 MW, with more than 90% of that hall committed before launch. Management guides operational capacity from 62 MW in 2024 to about 230 MW by FY27, a gross pipeline above 460 MW, and Nxera EBIT of S$72 million in FY26. Separately, Singtel is buying 25% of ST Telemedia Global Data Centres with KKR, for a combined design capacity of about 2.8 GW including Nxera.

AI DATA CENTERS · Data as at 27 Aug 2026 · Next update: after Singtel's next Digital InfraCo trading update or STT GDC close
Affects: AI Data Centers · Singapore · Southeast Asia · Hyperscalers

Nxera is the first Singtel-group name on the AI Data Centers layer, after the Singapore REITs Keppel DC REIT and Digital Core REIT. Those trusts own finished halls and distribute rent. Nxera builds and operates the halls, sells sovereign GPU cloud next to them under RE:AI, and sits inside a listed telco that also funds subsea cables and enterprise networks. Read What Is an AI Data Center? first if the terms are new, then the Singapore door at Singapore.

In short: Nxera designs, builds and runs AI-ready, carrier-neutral data centres across Singapore and Southeast Asia, and pairs them with Singtel's RE:AI GPU-as-a-service stack. Singapore is now 120 MW live after DC Tuas (58 MW) turned on in January 2026. Investor Day in August 2026 put the path at about 230 MW operational by FY27 (about 120 MW Singapore plus about 110 MW regional) and more than 460 MW gross including pipeline. Digital InfraCo — Nxera plus RE:AI and related digital infrastructure — earned S$486 million of revenue and S$81 million of EBIT in FY26; Nxera alone contributed S$72 million of EBIT, up 49%. The stuck step is turning contracted halls and the pending STT GDC stake into billed megawatts on schedule.

Education only, not advice to buy or sell any security. Figures are from Singtel's Investor Day Digital InfraCo deck of 27 August 2026, its FY26 results release and slides of 21 May 2026, its 24 July 2026 AGM responses, its 4 February 2026 STT GDC acquisition presentation, Nxera's 9 February 2026 DC Tuas release, and its FY25 results release, dated as shown. All S$ figures are Singapore dollars.

Numbers that matter

Singapore capacity

120 MW

After DC Tuas (58 MW) opened Jan 2026; >90% of Tuas committed pre-launch · 9 Feb 2026

Live

Operational path by FY27

~230 MW

About 120 MW Singapore + about 110 MW regional · Investor Day 27 Aug 2026

Building

Gross capacity incl. pipeline

>460 MW

Operational, under development and held pipeline at gross, incl. regional JVs · 27 Aug 2026

Pipeline

Digital InfraCo FY26 revenue

S$486m

+12%; Nxera revenue +16% ( +36% in 2H) · year to 31 Mar 2026

Paid

Nxera FY26 EBIT

S$72m

+49%; Digital InfraCo EBIT S$81m (+24%, +54% ex reservation fees) · 24 Jul / 21 May 2026

Paid

STT GDC stake (pending)

25%

With KKR 75%; EV S$13.8bn; ~2.8 GW combined design with Nxera · 4 Feb 2026

Signed

Status chips are Second Order's read. Singtel and Nxera describe hyperscaler and enterprise demand but do not name data centre tenants in the documents we used, so we do not either.

What does Nxera actually do?

Build halls. Rent power. Sell sovereign GPUs beside them.

Build AI-ready halls. Lease megawatts. Sell RE:AI on top.

1. It builds and runs AI-ready data centres in Singapore and Southeast Asia. Nxera is Singtel Group's regional data centre brand inside Digital InfraCo. Singapore capacity is 120 MW after DC Tuas (58 MW) opened in January 2026 — an eight-storey, multi-tenant hall with direct-to-chip liquid cooling and a cable landing station on site. Investor Day in August 2026 maps regional expansions in Thailand, Indonesia (Batam), Malaysia (Johor) and further pipeline toward more than 460 MW gross including joint ventures.
2. It leases power and space to enterprises and cloud customers. The Investor Day deck puts contracted utilisation at about 98% on Singapore's ~120 MW operational base and about 60% on the ~110 MW regional base guided for end-FY27, with billing utilisation lower (about 70% Singapore, about 38% regional) because some contracted customers have not yet started paying. FY25 results already said about 50% of upcoming Singapore capacity and about 80% of Thailand capacity were pre-sold.
3. It sells sovereign GPU cloud next to the halls. RE:AI, Singtel's GPU-as-a-service and AI-as-a-service stack, commercialised in January 2026. Investor Day shows about S$600 million of long-term (3–5 year) contracted revenue on the first 6 MW of RE:AI power, fully contracted, with a further 6 MW under negotiation against more than S$500 million of customer contracts. Capex for the first 6 MW is about S$0.3 billion.

The near-term clock is the FY27 turn-on. Investor Day shows Singapore already at about 120 MW, Thailand capacity coming in phases (including a 26 MW first Thai DC and a 38 MW second), Batam with an 18 MW reservation, and Johor at 64 MW plus 136 MW of further plans. Capacity is stated at gross, including regional joint ventures. The filings we used do not give a single hall-by-hall leased-megawatt table for every site, so we stay with the published country totals and utilisation percentages.

Then comes scale via STT GDC. On 4 February 2026 Singtel and KKR agreed to buy the remaining 82% of ST Telemedia Global Data Centres. Singtel will own 25% and KKR 75% after converting existing preference shares. Cash consideration is S$6.6 billion in two tranches; Singtel's cash contribution is S$740 million; implied enterprise value is S$13.8 billion. Combined with Nxera, Singtel cites about 2.8 GW of design capacity (operational plus pipeline) and about 0.8 GW operational. STT GDC and Nxera are to keep operating independently. Closing was guided for early second half of 2026, subject to approvals — the documents we used do not confirm a completed close.

How does Nxera make money?

It collects data centre rent, utility pass-through and reservation fees, plus RE:AI GPU cloud revenue, inside Singtel's Digital InfraCo segment. FY26 (year to 31 March 2026) in order:

• Digital InfraCo revenue — S$486 million, up 12%. Slides attribute the lift to Nxera (+16%, and +36% in the second half) on higher utilisation and DC Tuas turning on in January 2026, plus RE:AI contributions after commercialisation the same month.
• Digital InfraCo EBIT — S$81 million, up 24%, or up 54% excluding non-recurring reservation fees. That is the segment figure; it mixes Nxera halls with RE:AI and other Digital InfraCo lines.
• Nxera EBIT — S$72 million, up 49%, per Singtel's 24 July 2026 AGM responses. Management says the data centre business is already contributing positively and expects further growth in FY27 as DC Tuas customers finish fit-out and start operations.
• RE:AI contracted revenue — about S$600 million of 3–5 year contracts on the first 6 MW, fully contracted; Investor Day also shows an EBITDA forecast of about S$0.3 billion across the contract life for that tranche, with payback guided by FY30.
• Group context — Singtel Group operating revenue was S$14.26 billion and OpCo EBIT S$1,504 million in FY26. Digital InfraCo is still a small slice of the group (our arithmetic: 486 ÷ 14,261 ≈ 3.4% of group operating revenue).

Our arithmetic. Digital InfraCo EBIT of S$81 million on S$486 million of revenue is a 16.7% EBIT margin (81 ÷ 486). Nxera's S$72 million of EBIT is 88.9% of Digital InfraCo EBIT (72 ÷ 81), which tells you the halls — not RE:AI alone — still carry most of the segment profit, even though the filings do not split Nxera revenue from the S$486 million total. Backing FY25 Digital InfraCo revenue from the +12% print gives about S$434 million (486 ÷ 1.12). Management guides Nxera EBITDA to more than S$300 million by calendar 2028, more than double the level implied by the "doubling from FY25" Investor Day line — the AGM responses state the S$300 million target explicitly.

Who funds the build. Singtel recycles assets (S$3.9 billion of cash proceeds in FY26 alone toward a mid-term S$9 billion target) and partners with private capital. The STT GDC deal is structured so STT GDC is equity-accounted, not consolidated, with Singtel putting up S$740 million of cash. RE:AI's first 6 MW is described as funded with customer contracts in hand; Investor Day shows KKR funding lines against Singapore data centre refinancing for related Digital InfraCo work. FY26 Group guidance pointed to about S$1.2 billion of growth capex primarily for data centres and AI.

Who gets paid. Singtel / Nxera, as halls bill and as RE:AI contracts recognise. Construction and equipment suppliers as Tuas, Thailand, Batam and Johor spend lands. KKR and STT GDC as the associate stake closes. Who pays. Enterprises and cloud customers on colocation leases, and RE:AI customers on multi-year GPU contracts. Money sticks when a megawatt is energised and billing starts — contracted utilisation above billing utilisation is the lag Singtel itself highlights.

What limits it?

Billing lag first. Delivery second. Concentration and capital third.

1. Contracted is not yet billed. On the FY27 operational base, Investor Day shows Singapore contracted utilisation near 98% but billing utilisation near 70%, and regional contracted near 60% against billing near 38%. Until customers finish fit-out, revenue sits below the contracted headline.
2. Regional halls still have to turn on. The path from 62 MW (2024) to about 230 MW by FY27 depends on Thailand, Batam, Johor and other sites hitting ready-for-service dates. The Investor Day deck gives phase timing; it does not guarantee every site energises on the printed quarter.
3. Tenants are not named. Singtel cites hyperscaler and enterprise demand, pre-sold percentages and "no tenant defaults" in AGM responses, but the documents we used do not name customers, give rent per kilowatt, or publish a tenant-concentration table, so we do not invent those.
4. STT GDC is not closed in the sources we used. The 25% stake, S$740 million cash outlay and ~2.8 GW combined design figure are signed terms pending regulatory close. Until close, Nxera's live footprint is the ~120 MW Singapore base plus whatever regional capacity is already operating — not the 2.8 GW headline.

Where the filings are silent we say so. They do not name data centre tenants, give rent per kilowatt by market, split Nxera revenue out of Digital InfraCo's S$486 million, or confirm STT GDC has closed, so we do not estimate those.

Who else does this?

Roles, not a league table.

What separates Nxera is the telco stack underneath. Keppel DC REIT and Digital Core REIT own finished Singapore-heavy halls. NEXTDC and Equinix are scale landlords. Iron Mountain funds US and India halls from records cash. Nxera builds SEA capacity from Singtel's balance sheet and connectivity, then tries to sell sovereign GPU cloud on the same campus — a builder-operator with a parent that also owns the cables.

What would change this view?

The read on the model weakens if:

• DC Tuas or regional FY27 halls slip, so billing utilisation stays far below the contracted percentages Investor Day shows.
• RE:AI's first 6 MW fails to convert the S$600 million contracted book into the guided EBITDA path, or the next 6 MW does not clear the >80% contracted gate before deployment.
• STT GDC close is delayed or blocked, leaving the ~2.8 GW combined design figure unrealised and Singtel without the 25% associate stake.
• Nxera EBITDA progress toward the >S$300 million by CY2028 target stalls as utilisation or pricing softens.
• Singapore power or allocation rules tighten further, capping how much of the >460 MW gross pipeline can actually be energised onshore.

It stays intact while DC Tuas ramps into billing, regional FY27 megawatts turn on near the Investor Day dates, RE:AI keeps contracted power utilised, and the STT GDC stake closes on the guided terms.

Practical takeaways

• Nxera is Singtel's regional data centre builder-operator, not a REIT and not a pure US bitcoin-to-AI host.
• Singapore is 120 MW live after DC Tuas (58 MW, January 2026); Investor Day guides ~230 MW operational by FY27 and >460 MW gross including pipeline.
• FY26: Digital InfraCo revenue S$486m (+12%) and EBIT S$81m; Nxera EBIT S$72m (+49%); RE:AI holds ~S$600m of long-term contracts on its first 6 MW.
• Our arithmetic: Digital InfraCo is about 3.4% of Singtel group operating revenue; Digital InfraCo EBIT margin 16.7%; Nxera is 88.9% of Digital InfraCo EBIT.
• The stuck step is converting contracted utilisation into billing, then closing and integrating the STT GDC stake without mixing the two operating platforms.

FAQ

What does Nxera do?
Nxera is Singtel Group's regional data centre arm. It builds and operates AI-ready, carrier-neutral data centres in Singapore and Southeast Asia and sits beside Singtel's RE:AI sovereign GPU cloud. Singapore capacity is 120 MW after DC Tuas opened in January 2026.

How big is Nxera's data centre footprint?
Singapore is 120 MW live. Investor Day on 27 August 2026 guides about 230 MW operational by FY27 (about 120 MW Singapore plus about 110 MW regional) and more than 460 MW gross including pipeline and joint ventures. Separately, Singtel's pending 25% stake in STT GDC is part of a ~2.8 GW combined design capacity figure with Nxera.

How does Nxera make money?
Primarily from data centre leases, utility pass-through and related fees, plus RE:AI GPU cloud contracts. In FY26 Digital InfraCo (which includes Nxera and RE:AI) earned S$486 million of revenue and S$81 million of EBIT; Nxera's own EBIT was S$72 million.

Is Nxera the same as Singtel?
Nxera is a brand and operating platform inside Singtel's Digital InfraCo unit. Singtel (SGX: Z74) is the listed parent. STT GDC, once the KKR consortium deal closes, is meant to stay a separate associate — not merged into Nxera.

Does Nxera only operate in Singapore?
No. Singapore is the largest disclosed live block (120 MW), but Investor Day maps capacity in Thailand, Indonesia (Batam), Malaysia (Johor) and further regional pipeline. Exact live megawatts outside Singapore are not fully tabulated in the documents we used.

Is Nxera a good investment?
We do not make buy or sell calls, and nothing here is a recommendation. We can tell you what it owns, how it gets paid and which numbers would change the picture. The decision is yours.

Keep reading on the map

• The layer: AI Data Centers
• The term: What Is an AI Data Center?
• Singapore landlords: What Does Keppel DC REIT Do? · What Does Digital Core REIT Do?
• Australia builders: What Does NEXTDC Do? · What Does Macquarie Technology Do?
• US landlords: What Does Equinix Do? · What Does Iron Mountain Do?
• Where it happens: Singapore

The members cut on a stuck step is already live: When utilities bill data centers before power, where does cash stick?. This page stays the free Stack read of the Nxera model.

Sean

Writes Second Order by TKN — a plain-English map of AI infrastructure. Who gets paid, where money sticks, which step is stuck. Not investment advice.

Author page → · Editorial standards →

How we check this

Figures come from Singtel's Investor Day Digital InfraCo presentation of 27 August 2026, its FY26 results release and slides of 21 May 2026, its 24 July 2026 AGM responses, its 4 February 2026 STT GDC acquisition presentation, Nxera's 9 February 2026 DC Tuas release, and its FY25 results release, plus the peer filings listed below, each dated. Where we work something out ourselves, the arithmetic is shown in full. The filings do not name data centre tenants, give rent per kilowatt by market, split Nxera revenue out of Digital InfraCo's S$486 million, or confirm STT GDC has closed, so we do not estimate those.

Last reviewed: 15 Oct 2026 · Next review: after Singtel's next Digital InfraCo update or STT GDC close
Spot an error? Tell us and we will correct it and note the change here.
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References

1. Singtel, Developing and Scaling our Digital and AI Infrastructure in Asia (Investor Day 2026 — Digital InfraCo) (company, SGX presentation), 27 Aug 2026 — operational path 62 MW to ~230 MW by FY27, Singapore ~120 MW and regional ~110 MW, >460 MW gross pipeline, utilisation, RE:AI S$600m contracted for first 6 MW, EBITDA target >S$300m by FY28
2. Singtel, Singtel posts FY26 net profit of S$5.61 billion; underlying profit up 12% to S$2.77 billion (company, SGX results release), 21 May 2026 — Digital InfraCo revenue +12%, Nxera +16%, DC Tuas 58 MW Jan 2026, RE:AI commercialised Jan 2026, Digital InfraCo EBIT +24% (+54% ex reservation fees), STT GDC ~2.8 GW design
3. Singtel, FY26 Financial Results slides (SGX filing) (company, SGX presentation), 21 May 2026 — Digital InfraCo revenue S$486m and EBIT S$81m, Nxera growth split, RE:AI take-up, STT GDC notes
4. Singtel, Responses to substantial and relevant questions (34th AGM) (company, SGX filing), 24 Jul 2026 — Nxera EBIT S$72m (+49%) in FY26, EBITDA target over S$300m by CY2028, RE:AI contracts S$600m, DC Tuas and Thailand openings, no tenant defaults
5. Singtel, Singtel & KKR Acquisition of STT GDC (4 Feb 2026 presentation) (company, SGX announcement), 4 Feb 2026 — Singtel 25% / KKR 75%, S$6.6bn cash, Singtel cash S$740m, EV S$13.8bn, ~2.8 GW combined design of which ~0.8 GW operational, independent ops from Nxera
6. Nxera, Nxera opens Singapore's highest power-density, most energy efficient and multi-tenanted data centre (company press release), 9 Feb 2026 — DC Tuas 58 MW AI-ready, Singapore capacity to 120 MW, >90% committed pre-launch, liquid cooling, cable landing station
7. Singtel, Singtel posts FY25 net profit of S$4.02 billion (company, SGX results release), 21 May 2025 — Digital InfraCo revenue +5% on Nxera reservation fees and price increases; ~50% Singapore and ~80% Thailand upcoming capacity pre-sold
8. Keppel DC REIT, Unaudited results for the first half year ended 30 June 2026 (media release) (company, SGX filing), 23 Jul 2026 — distributable income, DPU, occupancy, WALE, leverage, cost of debt
9. NEXTDC, FY26 Record Results and Record FY27 Growth Guidance (ASX release) (company, ASX filing), 27 Aug 2026 — contracted and billing MW, forward order book, FY27 guidance, capex, liquidity, power position
10. Equinix, Equinix Reports Second-Quarter Results, Raises 2026 Guidance and Long-Term Outlook (company, SEC exhibit 99.1), 29 Jul 2026 — revenue by line and region, adjusted EBITDA, debt, 2026 guidance, 2027–2029 outlook