We invite you to invest in hyperscaledata center in Uzbekistan
Project overview
Project scopeTimeline••

Greenfield investment in 40MW Hyperscaleand equipment installation of four 10MW

data center providing Infrastructure

modulesand Cloud services•

Geography•

2020-2023 – release to operation(one module/year)

Tashkent

Investment terms

Financing•

2018-2022 – design, construction, engineering•

407 USD mn over 5 years for 4 modules

Risk adjusted investor NPV

Investor will have ownership of the entire
business

266 USD mn

IRR USD

27%

Data center market is growing at 10% per annum driven by growing amountof data and shift to cloud and outsourcing
Underlying market
driverDescription•
Data center traffic, zettabytes1

Increasing
amounts of dataand traffic+23% p.a.

—— Amount of data generated is expected to grow at ~40% p.a. in 2013-20—— Monthly mobile data traffic is expected to grow at ~50% p.a. in 2015-20—— 50 billion devices connected by 2020—— 55% of all mobile traffic is video—— Every connected car will generate 25Gb of data per hour151172016

2018

Industry 4.0, IoT devices, and user data generate data and traffic at never seen
speed, e.g.,

2020

Cloud infrastructure service TAM, USD bn

Dedicated Private CloudContinued shift tocloud computingand storage+35% p.a.

17310461433

2565152014

4281081924162017••

Colocation revenue, USD bn

Shift to outsourcing
and co-location

LatAm+14% p.a.

2.63.4

•
•

2016

2018E

2020E

1. 1 zettabyte = 1 trillion gigabytes

Contacts
State Investment Committee will be happy to answer anyquestions you may haveContact person: Aziz Urakov, Specialist
Telephone: +99893 544 4280Postal address: 100029, Tashkent, Islam Karimov street, 1E-mail: a.urakov@invest.gov.uz

Asia PacificNorth America

4.4

Public Cloud

Virtual Private Cloud

Cloud computing is an integral part of automated manufacturing and Industry
4.0, with data exchange and big data analysis being at its core
Migration from local installations to cloud-based solutions for data storage, applications, and corporate services will continue across business and private purpose

EuropeMEA

Many corporates increasingly move towards outsourcing to get access to ondemand computing resources while avoiding upfront IT infrastructure costs
Outsourcing drives shift towards larger data centers and colocation services

Uzbekistan presents an opportunity to connect Asian and European datacenter hubs and serve as gateway to untapped emerging markets

SwedenFinlandNetherlands

Dusseldorf

Manchester
Ireland 3Dublin
2LondonFrankfurt

Helsinki

Belgium

Stockholm

Amsterdam
224Paris2
3 2 Munich
ZurichFranceMilan

Warsaw
Sofia
Istanbul

GenevaBeijing2

MadridChina
Bahrain

ShanghaiSeoul2Osaka

3TokyoHong Kong

Dubai

Abu Dhabi

TaiwanMumbai2
Chennai

Singapore

2

Jakarta *Tashkent has ~4-5 times lower operating costs compared to other prime data
center locations
Industrial space,
USD per m2Electricity,
US cents per kWhFrankfurt

26.6

Mumbai25.5

London15.5

Warsaw

15,1

Hong kong

15.0

Kuala L.

14.3

3 750

124

2 667

94
271

3 583

141

1 750

160

3 750

81

2 083
458

8.1

Singapore

4 667

311

9.7

Moscow

Tashkent

2 167

82

12.7

Helsinki

4 417

112

21.4

DublinIT labor cost,
USD per month

142.1

4 083
600

IT companies receive significant economic benefits under:
MUIC and President Decree #2042
Benefit type

Description

Timeline
Till January 2028

Corporatetaxes

Exemption from:• Corporate profit tax• Property tax• Improvement & social infrastructure development tax• Uniform tax payment by micro and small businesses• Contributions to Republican Road Fund•

Exemption from customs duties (with the exception of customs processing fees)
for imported equipment, machinery, components, spare parts and materials notproduced in the Republic of Uzbekistan

Till January 2028

Payroll taxes•

Exemption from uniform social payment

Foreign currency
exchange andtransactions•••

Relieved from mandatory sale of 25% of foreign currency earnings
Allowed to make payments in foreign currency
Can accept foreign currency payments without mandatory service exportagreement

Import duties

Till January 2028

These materials are intended to the recipient solely for its information. Not for final investment decision purposes.

No time limitations