Chief Telecom Starts Construction on 16MW Huwei Data Center

Chief Telecom has broken ground on a 16MW data center in Huwei Township, Yunlin County, with operations set for the second half of 2028. The project carries a price tag of approximately NT$3.3 billion (US$101m). That figure covers 1.5 hectares in the Central Taiwan Science Park (CTSP) Huwei Park.

The facility will span 3,335 sqm (35,897 sq ft). It will support both air-cooled and water-cooled cooling solutions, a design choice aimed at high-density racks. Beyond those specifications, the company has said little about the site's technical configuration. No rack density targets, tier classification, or PUE (power usage effectiveness, a measure of energy efficiency) figures appear in the announcement.

How much capacity is already committed?

More than half, on paper. In an August update, Chief said it had letters of intent (LOIs, non-binding preliminary agreements) from prospective clients exceeding 50 percent of the site's available capacity. LOIs are not contracts. They signal demand but do not guarantee revenue. The company did not disclose the number of signatories or their identity.

The 2028 timeline gives Chief roughly four years to convert intent into signed leases. Construction delays in the Taiwanese data center sector are not unusual, and the company offered no interim milestones.

Where does this fit in Chief's portfolio?

Chief Telecom, established in 1991, operates four data centers in Taipei. Its parent is Chunghwa Telecom, Taiwan's largest telecoms operator. The company also runs the Taipei Internet eXchange (TPIX), an internet traffic interconnection point.

The Huwei site will be the company's first major facility outside the capital region. It follows Liyuan 2 (LY2), a 20MW data center launched in late 2024. That facility covers 160,000 sq ft (14,865 sqm) across seven floors and reportedly offers 10-150kW per rack, with support for both air and liquid cooling.

Two facilities in quick succession suggest an expansion push. It also raises questions the company has not addressed: staffing for a site far from its Taipei operations base, and the source of the remaining 8MW of demand at Huwei.

What remains unverified?

The 50 percent LOI figure is the company's own claim. Chief has not published the supporting documentation. The August update predates the groundbreaking, so the committed share may have shifted in either direction since then.

The reported rack densities at LY2 come from company statements rather than independent verification. For a firm whose primary business is data center operation, the absence of published efficiency metrics at both new sites is a notable gap. Investors tracking the US$101m outlay will have little to measure against until closer to launch.