Microsoft to launch 3 new data centres in Malaysia by mid-year as part of US$2.2B investment

KUALA LUMPUR: Almost a year after announcing a US$2.2 billion (S$2.9 billion) investment over the next four years in May 2024 to expand cloud and artificial intelligence (AI) services in Malaysia, Microsoft said on Thursday (March 20) that it will launch its first cloud region in the country by mid-year, with three data centres set to operate in the greater Kuala Lumpur area.

According to The Straits Times, Laurence Si, managing director of Microsoft Malaysia, said at a press conference that the data centres, known as the Malaysia West cloud, will begin operations in the second quarter.

Microsoft did not share the capacity of the data centres.

When asked about possible issues with exporting chips to Malaysia due to US export controls, Mr Si said the company was monitoring the situation but had not faced any problems so far.

“At this point, everything is status quo for us,” he said, adding that Microsoft maintains good relationships with various stakeholders and that its planned investments and operations in the region remain on track.

Microsoft’s investment is expected to generate US$10.9 billion in revenues and create over 37,000 jobs in Malaysia over the next four years, Mr Si said.

He also mentioned that local businesses and organisations would be able to innovate faster and operate more securely, helping Malaysia move towards becoming a hub for cloud and AI growth in Southeast Asia. /TISG

Read also: Microsoft expands data centre operations in Malaysia with nearly S$37M land purchase in Johor

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