The Hub Power Company decided to postpone its planned data center initiative following high electricity and technology expenses, heavy infrastructure demands, and unclear financial payoffs, a Topline Securities research note revealed after the firm held its annual general meeting.
Company executives mentioned that project feasibility might get better if these facilities were built inside specialized zones featuring access to several grid connections.
Hubco Prefers Larger Scale
Leadership signaled a preference to enter this sector at a bigger scale, targeting a capacity near 100 megawatts, instead of beginning with smaller sites ranging from 5 to 10 megawatts.
These statements point out the infrastructure and expense hurdles impacting large data center construction, where dependable power and heavy upfront capital are vital factors.
Still, no details exist regarding a new launch timeline, expected investment totals, or specifics about a final project layout.
These remarks from Hubco arrive while the business assesses the commercial viability of its proposed digital facility investment amid expensive power and technology alongside major infrastructure demands.
Over recent months, multiple corporate entities joined Pakistan's data center sector or revealed investment intentions for the industry. Gul Ahmed Energy Group formed a partnership with Huawei Pakistan for Quantum Global Data Centre, and Mari Energies-backed Sky47 opened its AI-ready Karakoram-01 facility.
In a separate development, Indus Cloud, Indus DC REIT, and United Bank Limited teamed up to build local cloud and data center infrastructure, showing rising corporate attention toward digital infrastructure in Pakistan.
