ikTok owner ByteDance plans to invest in artificial intelligence (AI) and turn Malaysia into a regional AI hub with a proposed investment of about RM10 billion.

In a post on X (formerly Twitter), Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said this was conveyed to him during his meeting with TikTok vice president Helena Lersch in Singapore today.

“The additional investment from ByteDance will certainly help Malaysia in achieving the target of growing the digital economy to 22.6 per cent of Malaysia’s Gross Domestic Product by 2025,” he said.

The minister also noted that TikTok, through ByteDance System Sdn Bhd, has developed a data centre at Sedenak Tech Park in Kulai, Johor.

Taking into consideration future requirements, Tengku Zafrul said, the company also plans to expand the data centre facility with an additional investment of RM1.5 billion.

Source: Bernama

ByteDance plans RM10 bln investment in AI, to make Malaysia regional hub

Sarawak has the potential to be a green hydrogen leader because of its ample hydropower, heavy rainfall and long coastline, said Peter Cockcroft, director of the Asia Pacific Net-Zero Institute Pte Ltd.

He pointed out that there are several ways to make hydrogen, but a lot of it currently comes from coal and natural gas, both of which release carbon dioxide (CO2), an emission that needs to be reduced.

Hydrogen production is differentiated by colors: black and grey (from coal and natural gas), blue (from natural gas with carbon capture), and green (from water using renewable energy).

“Green hydrogen, the cleanest type, is made through electrolysis, needing cheap and steady electricity, plenty of fresh water, and a way to separate hydrogen (H2) from oxygen (O2),” Cockcroft said in a recent interview, set up in connection with the upcoming Asia Pacific Green Hydrogen (APGH) Conference and Exhibition 2024 here.

“Sarawak stands out from the rest of Malaysia due to its significant hydropower resources, abundant rainfall, and long coastline. In Southeast Asia, Sarawak has the highest hydropower capacity among similar regions, providing a better renewable fuel choice than solar or wind.

“Hydropower runs constantly, offering reliable energy unlike solar and wind, which are intermittent. This gives Sarawak a competitive edge in business,” he said.

Cockcroft recognised Sarawak’s economic feasibility and market potential, noting its ability to reduce electricity expenses and attract global industries aiming to reduce carbon emissions.

He suggested a thorough plan with strategic steps, such as finding suitable sites, calculating production expenses, and creating a sales pitch to draw in investors and industries needing hydrogen.

Net-Zero Institute Pte Ltd specialises in international net-zero and decarbonization planning.

Meanwhile, Vicente Pinto, InvestChile’s counsellor for investment affairs in Asia, emphasised the need for global cooperation in advancing green hydrogen technology.

He regarded building a unified chain of operations through strategic partnerships as being essential for seamlessly integrating hydrogen production, transportation, and use.

“In this new industry, emission complexities require collaboration among stakeholders like producers, shipping companies, ports, and transport providers. Unlike traditional models, the green hydrogen value chain needs coordinated efforts among sectors that were once only customers.

“This complexity might explain the slower progress of the industry, underscoring the need for ongoing cooperation between governments and the private sector to optimise the value chain,” he explained.

Pinto said Sarawak’s potential to lead the green hydrogen economy in Asean was due to its current leadership in oil and gas and its strategic location.

Therefore, he recommended for Sarawak to develop a thorough hydrogen strategy, cultivate international partnerships, and invest in the required infrastructure for hydrogen projects.

Public perception and awareness are crucial for green hydrogen to succeed.

Cockcroft and Pinto are both in the international panel of speakers at the APGH 2024, running from June 10 to 12.

For more information on the event, go to www.hydrogenapac.com.

Source: Borneo Post

Sarawak has competitive edge in green hydrogen business, say experts

A Sabah government-linked company (GLC) will pioneer the green technology park (GTP) in the state.

To realise the sustainable development goal, Sawit Kinabalu, through its subsidiary, Sawit Palm Oil Industrial Cluster Sdn Bhd (SPOIC), signed a Memorandum of Understanding (MoU) with Nextgreen Global Berhad (NGGB) for the establishment of the GTP.

Sabah Chief Minister Datuk Seri Hajiji Noor, who is also Sawit Kinabalu chairman, witnessed the signing ceremony at the Sawit Kinabalu’s new headquarters at Block B, Menara Kinabalu here.

Sawit Kinabalu was represented by its group managing director and chief executive officer Victor Ationg, while NGGB was represented by its group managing director Datuk Lim Thiam Huat.

Through the MoU, both parties will explore and implement key activities of the GTP, such as establishing a collection and processing centre (CPC), a pulp mill, a raw water treatment plant, and a steam boiler on 400 acres of land owned by SPOIC in Sandakan.

The green business concept of the GTP emphasises renewable energy, recovery, and waste elimination, forming the foundation for a green economy that can reduce environmental risks and drive Sawit Kinabalu towards sustainable development.

Earlier, Hajiji inaugurated Sawit Kinabalu’s new headquarters and chaired the company’s board of directors meeting.

He later witnessed the payment of business zakat for the year 2023 amounting to RM800,000 from Victor to Sabah Islamic Religious Council (MUIS), Datuk Mohd Dandan @ Ame Alidin.

Source: NST

Sabah GLC to lead establishment of state’s green technology park

While Greater Kuala Lumpur and Johor remain the two locations with the highest growth in the number of data centres in Malaysia, other locations will also start seeing more data centre developments as demand continues to increase, according to JLL Malaysia.

In his presentation at JLL Malaysia’s Data Centres Perspectives event held on Thursday, JLL Malaysia data centre team member Kent Seet said that besides Johor and Greater Kuala Lumpur, Negeri Sembilan and Kedah could see a rise in data centre development activities.

“These two states can provide the necessary resources and infrastructure. And, JLL believes that if the process of upgrading existing or building new data centres in the mature locations could not be done speedily, Negeri Sembilan and Kedah might benefit from the overspill of demand from KL and Johor,” he said, adding that that aside from the established technology parks in Cyberjaya and Bukit Jalil, other areas in the Klang Valley could be potential areas for data centres as well.

Seet also highlighted that Johor will continue to grow as a data centre hub, thanks to the instrumental role of the state authorities in reducing red tape and streamlining processes in data centre developments.

“The data centre growth will be driven by established data centre-centric parks such as the Sedenak Tech Park and also pockets of new industrial parks in other locations such as Kulai, Skudai, Plentong and Tanjung Kupang, all these being potential locations,” he noted.

Meanwhile, Malaysia Digital Economy Corporation (MDEC) head (digital infrastructure and digital enablers) Tan Tze Ming shared in his presentation that, while the hotspots for data centres are concentrated mainly on the west side of Johor, there is potential for developments also on the east side, such as Pasir Gudang.

“There is plenty of land, water and power in Pasir Gudang. The only issue is that there is not yet a cable connection to the east side of Singapore. At the moment, MDEC is looking to secure potential developers, but without a bridge, it is not easy to get the cables across [to eastern Singapore]. We are also working on getting the open submarine cable landing stations ready, one on the western coast and another on the eastern coast of Johor, which will allow any subsea cables to enter Malaysia and enhance connectivity for Johor-based data centres,” he said.

Tan revealed that MDEC is also proposing a new submarine connectivity route for US-linked cables off the coast of Sabah and Sarawak, bypassing the disputed nine-dash line in the South China Sea, to ensure that East Malaysia is also benefitting from the data centre boom.

According to JLL Malaysia’s report entitled Data Centres: The Malaysian Perspective, which was launched on Thursday at the same event, it stated that Malaysia’s data centre market has experienced significant growth, driven by factors such as the rise of cloud computing and artificial intelligence (AI), growth of digital services and increasing data-intensive activities in various industries.

According to the report, as of 2022, Malaysia has a social media penetration rate of about 91.7%, outpacing Singapore’s at 89.5%, suggesting further growth potential for the data centre segment in the country.

As for total power capacity supply, the current figures stood at about 262 megawatts (MW), and the figure could grow to approximately 860MW by end-2025. “Taking into account all proposed data centre projects, the country is looking at a potential wattage of approximately 2,270MW beyond 2027,” the report said.

Source: The Edge Malaysia

JLL Malaysia anticipates more data centre developments across Malaysia due to rising demand

Integrated logistics solutions provider Tasco Bhd (KL:TASCO) plans to invest an additional RM400 million from now to 2026 to expand its warehouse capacity.

Executive chairman and substantial shareholder Lee Check Poh said the group has so far invested RM300 million in the expansion of its warehouses, exceeding the minimum RM240 million investment in capital expenditure (capex) to qualify for the income tax exemption under the Malaysian Investment Development Authority’s (Mida) integrated logistics services (ILS) scheme.

“Mida has awarded us the ILS scheme twice. The first one was for a five-year period from 2003 to 2007. We invested RM90 million in the first round. The second one was for a five-year period from 2021 to 2026 of a minimum RM240 million investment, which we have already invested RM300 million, as of today,” he said at the launch of Tasco’s new four-storey warehouse under phase one of the Shah Alam Logistics Centre (SALC) on Thursday.

The event, which was officiated by Selangor Menteri Besar Datuk Seri Amirudin Shari and Japanese Ambassador to Malaysia Katsuhiko Takahashi, was in conjunction with the group’s 50th anniversary this year.

“We still have two more years to go. From our investment strategy pipeline, we will most probably invest another RM400 million until 2026, bringing total capex to RM700 million under the second ILS scheme,” Lee said, adding that the warehouse expansion is expected to create 800 jobs this year alone.

The newly built warehouse adds 600,000 sq ft to the 400,000 sq ft of warehousing space Tasco currently owns in the same premises.

According to Lee, about 70% of Tasco’s newly launched four-storey SALC warehouse has been leased out to customers. He added that Tasco is currently in negotiations with a potential customer to take up the remaining space.

Warehousing capacity at Shah Alam hub to grow to 1.4 million sq ft by 2026

Part of the RM400 million capex will be used for phase two of SALC, which will see another 400,000 sq ft of warehousing space added, bringing the total to 1.4 million sq ft by 2026. “The group’s old headquarters will be demolished and replaced with a four-storey warehouse, which will connect to today’s newly-launched warehouse and will use the same ramp,” said Lee.

Tasco also plans to build two new warehouses in Northport, which will span 600,000 sq ft in total. Almost half of that facility will cater to cold storage warehousing with automated storage and retrieval systems (ASRS). Tasco’s 70%-owned subsidiary Tasco Yusen Gold Cold Sdn Bhd (TYGC) is currently the biggest cold chain player in Malaysia. In 2019, Japan Overseas Infrastructure Investment Corp for Transport and Urban Development (JOIN), a Japanese government investment company, had invested 30% in TYGC.

Lee conceded that the massive inflow of new warehousing capacity coming into the market could result in an oversupply in the short term. “But I believe in the medium-and long-term, it should stabilise so long as the economy keeps growing.”

Earlier in his speech, Amirudin said the Department of Statistics, Malaysia data showed that Selangor’s population has pushed past 7.3 million and this continues to grow.

“That is more than 20% of Malaysia’s population located across nine districts and 12 local councils. And the majority are young people primed to enter or have just entered the workforce thanks to the more than 160 universities located across the state.

“These two factors mean you not only have a ready-made market, but a workforce primed to take up the job opportunities your investment will surely offer,” he noted.

Amirudin added that his state administration will table the mid-term review of the First Selangor Plan (RS-1) at the upcoming Selangor State Assembly in July. “We will then present RS-2 in 2025 or early 2026. Infrastructure and the services sector are one of the key pillars (in the plan) where we will establish the Greater Klang Valley as the metropolis of Selangor and Malaysia. Working together with the private agencies, the government sector, the people of Selangor and companies, we are confident that activities in Selangor will contribute 30% to the national gross domestic product by 2026/2027.”

Tasco’s share price closed unchanged at 96.5 sen on Thursday, giving it a market capitalisation of RM772 million. Its share price has risen 25% so far this year.

Source: The Edge Malaysia

Tasco to invest additional RM400m to expand warehouse capacity over next two years

Development plans for the industrial component at Gerbang Nusajaya in Johor are gradually taking shape, with detailed plans now in place.

These include a 40-acre renewable energy industrial park in Precinct 2 and a 74-acre data centre (DC) campus in Precinct 4.

RHB Research anticipates strong interest from global DC players.

“We understand that additional power supply may be added in the area to support industries and investments,” it said in a note.

The research firm noted that UEM Sunrise Bhd (UEMS) is well-positioned to capitalise on Johor’s multiyear growth and the state’s burgeoning data centre (DC) sector, thanks to its strategic presence in Iskandar Malaysia.

UEMS’ collaboration with LOGOS Infrastructure Holdco (LOGOS) marks a significant move into the expanding DC segment.

Both parties have signed a memorandum of understanding to exclusively explore the development of a DC campus in Gerbang Nusajaya.

The proposed 74-acre site in Precinct 4 could potentially support up to 360 megawatts (MW) of capacity.

UEMS’ potential involvement includes providing comprehensive construction management for long-term lease-built-to-suit developments, overseeing technical works, and handling government-related licensing, applications, and approvals.

“Details on the collaboration have yet to be ironed out, but we understand that UEMS may explore the possibility of holding a portfolio of DC assets for a recurring income stream, which could be very sizeable, given the capacity. 

“Although the plan may be limited by its balance sheet, we think the company’s upcoming non-core land monetisation could potentially bring in some financial flexibility that should help in building a DC portfolio,” it said in a note.

The research firm said that although no investment figures were provided, it estimates that this 74-acre and 360-MW capacity could bring in DC investments worth RM10 billion to RM12 billion.

“The 74 acres of land alone are worth about RM260 million, based on our conservative RM80 per square foot assumption,” it said.

Source: NST

Global data centre players to show strong interest in Gerbang Nusajaya: RHB

The focus on the development of green energy in Sarawak is to make the state a leading player in the new economy, says the Sarawak Premier.

Tan Sri Abang Johari Openg said plans to produce new energy material, and development of new infrastructure and takeover of existing infrastructure, will also bring Sarawak closer to its target of becoming a hub for Asean economic development.

“We will be the leading player of new economy, not just in Malaysia or among Asean countries, but in the world,” he said when speaking at the Gawai Ngabang programme at the Betong division yesterday.

Abang Johari said following the takeover of Bintulu Port from the Federal Government, Sarawak will develop new ports with equivalent equipment to cater to future economic development.

“We will develop what is called an Energy Hub in Samalaju and Kidurong (both in Bintulu) and will also develop the Trans Borneo Pipeline to supply gas throughout Sarawak,” he said, Bernama reported.

Abang Johari said these plans will create new job opportunities that offered high salaries to highly qualified and talented Sarawakians.

He said the people in Betong Division will not be left out of the development plan, especially in preparing the young to obtain quality higher education and talent development.

A new building will also be built in Betong as the Centre of Technical Excellence Sarawak (Centexs Sarawak), which currently is operating in a rented building.

Source: The Star

‘Be global player in green economy’

Large-scale solar ventures (LSS) will allow palm oil producers to generate up to 54 times more operating profits per hectare compared to oil palm, Maybank Investment Bank flagged.

SD Guthrie Bhd (formerly Sime Darby Plantation Bhd) (KL:SIMEPLT), Kuala Lumpur Kepong Bhd (KL:KLK), and IOI Corp Bhd (KL:IOICORP) are potential beneficiaries given their estate locations, Maybank said in a note to clients. Genting Plantations Bhd (KL:GENP), TH Plantation Bhd (KL:THPLANT) and United Plantations Bhd (KL:UTDPLT) may also benefit, it said.

“Only selected planters with the right estate location may benefit from this solar potential should they choose to capitalise on this opportunity,” Maybank said.

So far, only SD Guthrie has made public its renewable energy ambition with a one-gigawatt (GW) capacity target.

Earlier this month, Sime Darby Plantation and its major shareholder Permodalan Nasional Bhd, revealed plans to collaborate on a 1,000-acre development in the proposed Kerian Integrated Industrial Park to attract green electrical and electronics investments.

The site, located within the group’s Tali Ayer Estate in Perak, will feature solar farms owned and operated by Sime Darby Plantation. Since 2018, Sime Darby Plantation has leased a significant portion of its land for solar farms under the LSS schemes.

However, not all agricultural land may be suited for LSS, Maybank noted. Apart from flat-to-gently undulating land requirement, LSS farms are preferably located near the national grid and its interconnection points.

Maybank’s rough estimates show that 1GW capacity may bring in recurring annual income of RM134 million to RM266 million using 1,500-1,700ha of land compared to the sector’s average oil palm operating profit of RM4,444 per hectare achieved for the past 10 year.

Some planters have been leasing their land for LSS farms at double to triple the average returns of oil palm on a per mature hectare basis, Maybank noted.

“Such moves helped planters gain immediate rental returns as opposed to the typical seven-year gestation period for oil palm to generate maiden profits after replanting,” the house said.

Rather than leasing to other renewable energy companies, “it makes financial sense” for planters to be producers themselves and maximise their land values, while allowing their land to “further accrete in value when the concession ends after 20 years or so,” Maybank added.

Malaysia is pushing for renewable energy to boost economic growth as part of its climate change policy to transition away from coal and natural gas that make up the bulk of its energy mix.

Under the Malaysia Renewable Energy Roadmap, the share of renewable energy in Malaysia will rise to 40% of 18GW in 2035, of which solar will account for 7.28GW, according to the Sustainable Energy Development Authority. 

Source: The Edge Malaysia

Solar power could generate 54X more profits than palm oil — Maybank

Despite external headwinds and challenges, leasing activity for prime logistics warehouses — particularly for the Klang Valley, Johor Bahru and Penang — remained resilient in the second half of last year with expected rent growth in 2024, says Knight Frank Malaysia executive director of land and industrial solutions Allan Sim in a statement accompanying the release of Knight Frank’s Asia-Pacific Logistics Markets report for 2H2023.

He attributes this to tight availability of grade A warehouses and strong leasing demand for specific grade A warehouses as well as price resistance from landlords due to higher construction and financing costs.

“The expected global recovery in the semiconductor industry next year will increase the demand for the space, particularly in Penang, Kulim [Kedah], Melaka and Selangor. There are more high-end grade A warehouses scheduled to be completed in 2024 and landlords are increasingly reluctant to compromise on building specifications for lower rental rates,” says Sim.

“[And] as we witness a measured increase in rents, our emphasis remains on fostering innovation and sustainability in logistics spaces to meet the evolving demands of occupiers.” 

Sim also notes that the local market’s response to global economic fluctuations underscores the adaptability and forward-thinking nature of the country’s logistics industry and expects to see more landlords undertake the redevelopment of older factories and warehouses into modern warehouses with higher specifications.

“However, the performance of the rental [rates] will be subject to the performance of foreign direct investment (FDI) and domestic direct investment (DDI) in the coming year. As we navigate the path ahead, the outlook for logistics in Malaysia remains optimistic, bolstered by our resilience and strategic positioning in the Asia-Pacific landscape,” he says.

As for the larger Asia-Pacific region, the report states that the overall prime logistics rents continued their upward trajectory to grow 6.2% year on year (y-o-y) in 2H2023, powered by an acceleration in rental growth in Manila, the Philippines. It, however, shows a slowdown in short-term momentum, with a 1.5% increase in half-yearly rental growth, compared with 4.6% in 1H2023.

In the report, Knight Frank global head of occupier strategy and solutions Tim Armstrong says, “As logistics occupiers continue to dial back on expansionary ambitions, it is becoming apparent that the supply-demand imbalance that had fuelled the region’s steep rental growth is waning. However, the Red Sea conflict is a reminder that global supply chains remain vulnerable to disruptions.

“The region’s ample development pipeline is an opportunity for occupiers to review their logistics footprint. Leasing activity is expected to turn more selective with take-up from occupiers seeking strategically located prime logistics spaces that are automated and compliant with sustainability standards.”

According to the report, the region’s development pipeline will remain significant in 2024, adding 43.7% to existing stock, which will continue to ease tight supply conditions. “The bulk of new supply will be delivered in Chinese mainland markets, where over 17 million sq m completing in Beijing and Shanghai will continue to weigh on market conditions for most of 2024.”

Knight Frank head of research, Asia-Pacific, Christine Li says the impact of the considerable supply of logistics space due to the ample development pipeline and growing sublease availability will be uneven across the region. “Strong pre-commitments in Pacific markets are keeping vacancies tight while Southeast Asia and India will continue to benefit from supply chain diversification.

“In contrast, Chinese mainland markets will likely require some time to absorb a substantial pipeline given the sluggish economy. While [the] appetite for expansion among logistics occupiers has cooled, demand fundamentals in the region remain robust. Global trade and production converge in the region while the need for supply chain resilience will continue to underpin demand.”

In terms of outlook, the report states that occupiers in the region will remain cautious, impacted by a combination of economic uncertainty, inflationary pressures and higher interest rates. “Rents will remain on an uptrend, but with the structural shortage of quality spaces narrowing, growth will moderate sharply to between 1% and 3% [this year], down from the over 6% rise in 2023.”

Of the 17 Asia-Pacific cities tracked by the index, 13 recorded stable or increased rents in 2H2023 compared with 16 in the prior six months.

Southeast Asia

Average rents across Southeast Asia were mostly on an upward trend in 2H2023. Manila leads the region with 39.3% growth annually and 7.3% from six months ago, fuelled by the rapid expansion of the e-commerce sector. The report, however, notes that the pace of rent growth is anticipated to moderate as conditions normalise.

In Singapore, the recovery in manufacturing output also created conditions for higher rents during the same period. Meanwhile, those in Vietnam’s Ho Chi Minh City increased mainly due to the completion of quality logistics spaces with higher rates.

Rents in Jakarta, Indonesia, reversed a decline due to strong demographics and expanding retail and e-commerce sectors with occupiers choosing to locate closer to the capital city; whereas Bangkok, Jakarta and Kuala Lumpur saw largely stable rental levels as demand and supply remained largely in balance, the report adds.

Australia and New Zealand

Though coming off record highs, leasing activity in Australia’s Eastern Seaboard markets eased during the review period. “As a result, the pace of rental growth slowed with all markets recording increases of less than 4% from six months ago,” the report says.

However, it states that annual growth remains high with Sydney and Brisbane recording double-digit increases as incentives remained at historical lows across all capital cities. “While a strong pipeline of about three million sq m is expected to be delivered in 2024 across the east coast, the majority of this new supply has been pre-committed. Rental growth is expected to be sustainable, albeit at a slower pace, with growth expected to revert to an annual pace in the range of 4% to 8% over the next 12 months.”

In Auckland, New Zealand, the frenetic pace is also tapering off as resistance to higher rents develops in the context of weaker sentiment, which will lead to a moderation in rental growth, it adds.

East Asia

Leasing fundamentals on the Chinese mainland continued to drag against a backdrop of a weak economy and substantial completions in and around Beijing and Shanghai. “Total trade, which slowed significantly in 2023, substantially reduced the demand for logistics warehousing in the Chinese mainland. To expedite the rental process, there has been a considerable reduction in rents,” says the report.

As rents in Beijing and Shanghai softened, pressured by the abundant supply of warehouses and weakening trade, highly favourable rental rates in surrounding cities were also attracting tenants away from Shanghai and Beijing, which further reduced demand. The report says that rents are anticipated to contract in 2024 amid elevated vacancy rates.

Rents for modern logistics spaces in Hong Kong continued to register moderate growth, supported by sizeable leasing deals. “However, with substantial supply from Cainiao Smart Gateway likely to fuel an increase in vacancy rates, rents are likely to come under pressure in 2024.”

In Taiwan, market conditions continue to favour landlords. “The reshoring of technologically critical processes in Taiwan is raising storage demand for raw materials as well as semi-finished products while e-commerce companies are expanding. Robust domestic consumption, which hit a record in 2023, is fuelling demand for logistics spaces from traditional retail and e-commerce players.”

India

According to the report, the Indian warehousing market continued to reflect the strength of the Indian economy as demand remained steady in the volatile global economic environment, with 0.9 million sq m transacted in Bengaluru, NCR and Mumbai from April to September 2023.

It explains that while e-commerce companies remained focused on curbing costs, demand continued to be driven by the manufacturing and 3PL sectors. “India has benefited from the sustained move towards the decentralisation of manufacturing capacity from China.”

The real estate consultancy expects demand for logistics spaces in the country to remain robust for the rest of the fiscal year, boosted by the government’s focus on “Make in India” and the Production Linked Incentive scheme.

Source: The Edge Malaysia

Optimistic outlook for logistics space in Malaysia, says Knight Frank Malaysia

Prime Minister Datuk Seri Anwar Ibrahim has discussed investment and support plans that can be implemented by Fujifilm Healthcare Americas Corporation (Fujifilm) in the health sector in Malaysia.

Anwar, who is also the finance minister, said the session was conducted in conjunction with the courtesy visit of Fujifilm chief executive officer and president Hidetoshi Ilzawa and his delegation this afternoon.

According to him, the discussion also involved healthcare, training and the documentation of medical records.

“Today’s meeting and discussion is in line with the government’s focus on driving technological transformation, especially in the public sector,” he said through a post on X (formerly known as Twitter) today.

Fujifilm is a leading company in innovative diagnostic and imaging solutions to meet healthcare needs that span prevention, diagnosis and treatment.

Source: Bernama

PM Anwar discusses investment plans with Fujifilm

The RM9.4 billion investment made by tech giant Google at Elmina Business Park, Sungai Buloh, shows that investors are optimistic about Selangor’s prospects for future growth, says Ng Sze Han.

The state executive councillor for investment, trade and mobility said that in addition to the growth of the integrated circuit (IC) and semiconductor design park in Puchong, Google’s investment also increases Selangor’s appeal, which includes providing high-value jobs.

“Google’s investment in the data centre and Google Cloud Region, which has a multiplier effect on several industries, including semiconductors, strengthens Selangor’s position as the country’s economic centre.

“The development plan relies on advanced semiconductor technology due to its widespread use, including AI (artificial intelligence),” said Ng Sze Han to Selangorkini.

On Thursday, Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz stated that Google’s investment is expected to support 26,500 jobs across various sectors in Malaysia, which include healthcare, education, and finance, with an economic impact valued at RM15.04 billion (US$3.2 billion).

The investment follows discussions between Prime Minister Datuk Seri Anwar Ibrahim and Alphabet Inc.’s president and chief investment officer, who is also Google’s chief financial officer, Ruth Porat.

The Malaysian Investment Development Authority (Mida) and Google also signed a Memorandum of Understanding on November 14, 2023.

Source: Selangor Journal

Google’s investment proves Selangor as economic hub, offers high-value jobs

Japanese companies in the services sector in Malaysia are expected to increase investments here.

Managing director of Japan External Trade Organisation (Jetro) Kuala Lumpur, Koichi Takano, said Japanese restaurants are making forays here while some legal firms are jointly opening branches with Malaysian partners.

“Malaysia continues to be an attractive destination for Japanese companies, with some planning to expand in the manufacturing and non-manufacturing sectors,” he told Bernama recently.

Takano said most of Japan’s manufacturing companies are focused on expanding their existing base rather than putting in new investments but the services sector is seeing new investments.

“Based on a Jetro survey, some Japanese non-manufacturing companies consider Malaysia a regional hub,” he added.

Malaysia’s living environment, fewer natural disasters compared to other countries, the population’s good English proficiency level, political stability and being an Islamic market gateway were considerations among survey respondents.

These factors continue to attract Japanese companies, he said.

A recent Japanese Chamber of Trade & Industry Malaysia and Jetro survey revealed that Japanese companies here anticipate profit levels to notch up in 2024 due to improved business sentiment versus 2023.

The survey also noted that Japanese companies are also committed to decarbonisation efforts.

To support their investments, the survey also revealed that Japanese companies are seeking preferential treatment and flexibility when it comes to policy enforcement, particularly among companies that have been here for a while.

They are seeking tax breaks, green energy-related incentives and enforcement of policies in phases.

Source: The Star

Japan’s services sector to raise investments

Sarawak is eyeing collaborations with investors from South Korea and the United Arab Emirates (UAE) in its bid to become a green energy hub, says Tan Sri Abang Johari Openg.

The Premier said a Korean company is proposing the development of an energy hub in Bintulu that would produce green methanol, green ammonia, sustainable aviation fuel, and hydrogen.

“This will involve an estimated investment of USD460bil (RM2,162bil) to be developed up to 2050,” he told reporters after attending a state Gawai open house on Saturday (June 1).

Abang Johari also said Sarawak would work with Abu Dhabi’s renewable energy company Masdar in hydro and solar energy.

“We have identified an area for them to invest in, which can potentially generate 1GW of green energy through hydro in the Murum area. This will be a significant investment that will add value to our green energy production,” he said.

Abang Johari stated that Sarawak would open an office in Abu Dhabi to engage with Masdar.

He said the state is interested in exploring Masdar’s development of elevated solar generation combined with food production.

“We want to be a green energy hub with various energy sources. Our long-term policy ties in with global issues of climate change and food security,” he said, adding that this policy is expected to last beyond 2030.

“We are doing this for the future to benefit the young generation,” he said.

Source: The Star

Sarawak targets green energy collaborations with South Korea, UAE

Jakel Group is partnering with PiDC Holding Bhd to build a 51MW data centre in Cyberjaya worth RM1.2 billion.

In a statement on Saturday, Jakel said it is taking up a 40% stake in the project, Pi Data Centre Sdn Bhd, while the remaining 60% is held by PiDC.

The data centre will be a state-of-the-art Tier III Data Centre spanning a 7.3-acre site in Cyberjaya.

The project will be built in three phases, with the construction of the first phase starting in the third quarter of this year and being completed in the fourth quarter of 2025.

“A large portion of the phase 1 capacity is already committed, indicating strong demand for data centres,” Jakel said.

Jakel managing director Datuk Seri Mohamed Faroz Mohamed said the investment in the data centre marked a significant milestone in the group’s journey to diversify its portfolio into digital infrastructure from its existing business in textiles, property, plantations, healthcare, and military equipment.

“This investment underscores our dedication to exploring new opportunities and expanding our expertise in dynamic markets. Additionally, the project aligns with broader national agendas, such as MyDIGITAL.

“It will contribute to the development of robust digital infrastructure and facilitate the growth of the digital workforce, enhancing Malaysia’s capabilities in digital innovation,” he said in the statement.

Meanwhile, Jakel Capital Sdn Bhd director Muhammad Ashraf said digital infrastructure is part of the group’s diversification strategy.

“The Jakel family has committed RM1 billion in capital for investment in 2024, with a larger capital commitment expected in 2025.

“In addition to this venture, the Jakel Group’s strategic investments include a significant stake in Cypark Resources Bhd (KL:CYPARK), a renewable energy firm listed on Bursa Malaysia, where Jakel emerged as the largest shareholder in January 2023,” he added.

PiDC Holdings Sdn Bhd is a local data centre operator co-founded by Ong Chin Seong, who brings over two decades of global experience in the design, construction and operation of data centres.

Ong, who also serves as the current chairman of the National Tech Association of Malaysia (Pikom), has successfully designed and developed many data centres, both domestically and internationally.

Source: The Edge Malaysia

Jakel invests in data centre project worth RM1.2 bil

Sarawak has identified areas for Abu Dhabi Future Energy Company (Masdar), the UAE’s clean energy powerhouse, to invest in the state, said Tan Sri Abang Johari Openg.

The Premier said these areas have the potential to generate 1,000 megawatts (MW) of green energy through hydropower that may be developed in Murum.

“Masdar is a large company from the UAE specialising in generating green energy through solar.

“We have identified areas for them to invest in and this is a big investment, which means we have added value in terms of our green energy production,” he told reporters after attending the Gawai Dayak Open House at the Borneo Convention Centre Kuching (BCCK) today.

Abang Johari said he has since met up with Masdar’s chief executive officer and that the state will set up an office in Abu Dhabi, which will be managed by Sarawak Energy Berhad and Petroleum Sarawak Berhad (Petros).

Abang Johari said Sarawak is fortunate to serve as a green energy hub especially when the state has green energy resources including hydrogen.

“I feel that our long-term policy is on the right track with the global issue of climate change as well as food security because solar energy production today need not be only through floating solar but can be generated through elevated solar structure meaning they are on the ground.

“Under this (elevated) solar, they can also develop for the food industry, and I saw that Masdar was very interested in this because they have already carried out this approach in Sharjah, one of the emirates in the UAE where they developed solar and underneath the structure was where they planted crops. As such, the energy is used for food production,” he said.

Abang Johari said Sarawak’s green energy initiatives are part of a long-term policy, which will go beyond 2030.

“We in the Sarawak government are doing this for the future so that it will benefit the younger generation.

“That is also the reason why I came up with the free tertiary education policy on certain disciplines to that they can be educated and will have the qualifications and skills needed to continue our initiatives,” he said.

Among those present at the open house hosted by Dayak leaders led by Deputy Premier Datuk Amar Douglas Uggah Embas were Head of State Tun Pehin Sri Wan Junaidi Tuanku Jaafar and his wife Toh Puan Fauziah Mohd Sanusi, as well asAbang Johari’s wife Datin Patinggi Juma’ani Tuanku Bujang.

Source: Borneo Post

Premier: Sarawak identifies areas for UAE’s Masdar to invest in state

SD Guthrie Bhd (formerly Sime Darby Plantation Bhd) plans to expand its involvement in large-scale solar (LSS) projects via land lease, own investment and equity share.

Group managing director Datuk Mohamad Helmy Othman Basha said the company aspires to own assets that can generate about one gigawatt of power, which would require an investment of RM2.5 billion, in the next three to five years.

The investment can deliver a high single-digit return on investment of eight to nine per cent on a project basis, he told a press conference in conjunction with the release of the company’s first-quarter results here today.

Mohamad Helmy said the company, which first leased its land for a solar photovoltaic (PV) project (with a 20-megawatt capacity) in 2018 under the first LSS programme (LSS1), has leased land for 12 LSS4 projects with a total capacity of 336 MW, or 40 per cent of the total quota awarded for solar farms under LSS4.

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He said the company has also leased 11 sites for projects with a total capacity of 227 MW through the Corporate Green Power Programme (CGPP) that was launched in late 2022.

“We looked for less productive land (for the solar projects) and kept the more productive land for oil palm cultivation,” he said.

SD Guthrie is targeting to bid for an additional three sites under the upcoming LSS5 programme.

“We believe we can play a more active role (in the government’s energy transition plan) as we have a lot of land. Almost everyone that wants to develop a solar project comes to us,” he said.

In the 12th Malaysia Plan, the government is committed to achieve net-zero greenhouse gas emissions by 2050.

Mohamad Helmy said that the government’s target to reduce the carbon footprint presents a good opportunity for the company to be a part of the nation’s net-zero ambition.

“Although this seems unrelated to the plantation business, we have to look at what our assets are, and our assets and business come from the land. Without land, there’s nothing.

“And it would be a missed opportunity if we don’t capitalise on this opportunity. Renewable energy, especially solar energy, is a very big and profitable business, as it provides consistent returns from rental,” he added.

Source: Bernama

SD Guthrie set to invest RM2.5b to grow solar business in next three to five years

The latest significant investment of US$2 billion (RM9.4 billion) by technology giant Google in Malaysia will elevate the country’s appeal as a data centre hub in the region, said an analyst.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the government should leverage on this opportunity to attract further investments that can enhance the complexity and diversity of the Malaysian economy.

“Google’s entry is expected to significantly enhance Malaysia’s appeal as a preferred destination for data centres. Malaysia offers extensive land, sustainable energy supply and a skilled workforce, creating an ideal ecosystem for companies looking to establish data centres,“ he told Bernama.

Google has announced its new investment of US$2 billion (RM9.4 billion) in Malaysia, including the development of its first data centre in the country and Google Cloud region to meet the growing demand for cloud services locally and around the world, as well as artificial intelligence (Al) literacy programmes for students and educators.

“This development will positively impact various industries including real estate and generate demand for power cables, substations, mechanical and engineering procurement, ventilation and air conditioning systems,” he added.

Mohd Afzanizam reiterated that the establishment of data centres will have a positive spillover effect on the economy, especially in fostering a stronger technological ecosystem, spur innovation and encourage local startups to collaborate with Google. “Collaboration between the government, educational institutions and industry players will be the key to ensure that the benefits of Google’s investment are fully realised, driving sustainable economic growth and technological advancement in Malaysia,” he said.

Meanwhile, the dean of Universiti Teknologi Malaysia’s (UTM) Faculty of Artificial Intelligence (FAI), associate professor Dr Mohd Naz’ri Mahrin, said Google’s investment in Malaysia is poised to significantly enhance the country’s AI capabilities, driving both innovation and economic growth.

“The establishment of advanced data centres will bolster Malaysia’s cloud computing infrastructure, providing a solid foundation for AI development and deployment. This investment is expected to catalyse the creation of AI-driven services and products, boosting efficiency across various sectors and accelerating Malaysia’s digital transformation,” he added.

The associate professor anticipates a thriving AI ecosystem, with startups and tech companies benefitting from Google’s accelerator and incubator programmes. “This will foster a vibrant entrepreneurial environment, encouraging innovation and growth,” he said.

Mohd Naz’ri said enhanced AI infrastructure and a skilled talent pool will make Malaysia more attractive to global tech giants and investors, potentially improving its position in the Global Innovation Index. “Partnerships with academic institutions like UTM will further promote research and development in AI and machine learning, embedding these advancements into Malaysia’s tech landscape,” he added.

Source: Bernama

Economist: Google’s US$2 billion investment set to elevate Malaysia’s appeal as data centre hub in region

Google’s latest investment of RM9.4 billion for its first data centre and cloud region will significantly advance the digital ambitions outlined in the country’s New Industrial Master Plan (NIMP) 2030.

Investment, Trade and Industry Minister Datuk Seri Tengku Zafrul Abdul Aziz said the establishment of the Google data centre and Google Cloud region in Greater Kuala Lumpur will empower the country’s manufacturing and service-based industries to leverage artificial intelligence (AI) and other advanced technologies to move up the global value chain.

“We also welcome Google’s plan to help us develop a robust talent ecosystem by facilitating the growth of our people’s digital skills, businesses and careers. As this attracts further investments, it will spur innovation and drive growth for organisations of all sizes.

“We are confident that Google’s partnership and continued investment will accelerate our nation’s digital transformation, contributing to the Madani vision towards a more prosperous, technologically advanced Malaysia,” he said in a statement issued by the Investment, Trade and Industry Ministry (Miti) today.

The minister said Malaysia’s steadfast commitment to robust digital infrastructure has convinced many multinationals to come to Malaysia’s shores, resulting in RM144.7 billion of digital investments approved from 2021 to 2023.

“As Miti actively nurtures an empowering digital ecosystem that will drive technology-based solutions across various sectors, it will also strengthen our value proposition that Malaysia is the place to be for companies to strengthen their regional and global operating success,” he added.

Google’s new commitment is expected to support 26,500 jobs across various sectors in Malaysia, resulting in a huge total economic impact estimated at RM15.04 billion.

“The Malaysia cloud region will join 40 regions and 121 zones currently in operation around the world to meet the growing demand for cloud services locally and globally, as well as AI literacy programmes for Malaysian students and educators.

“This latest commitment by yet another global tech giant to Malaysia represents a key milestone in the Madani government’s vision to attract more digital investors into the country, to help build a digitally enabled economy that is both strong and safe,” the ministry said.

It added that the increased capacity of, and reliability on, cloud services will support various sectors, including healthcare, education, and finance, to foster a more connected and resilient world.

This announcement was made after a series of engagements involving Prime Minister Datuk Seri Anwar Ibrahim with Alphabet and Google’s president, chief investment officer and chief financial officer, Ruth Porat.

A memorandum of understanding was also signed between the Malaysian Investment Development Authority (Mida) and Google on November 14, 2023.

Porat, meanwhile, said this investment was built on its partnership with the Malaysian government to advance its ‘Cloud First Policy,’ which includes best-in-class cybersecurity standards.

“With today’s announcement, Malaysia and Google are partnering to advance our shared work to create a supportive ecosystem for innovation and unlock the potential of digital transformation.

“In line with the Madani Economy Framework, which encourages innovation and inclusivity to help propel Malaysia into the top 30 of global economies by 2033, transformative technologies such as machine learning, natural language processing, and predictive analytics powered by cloud and AI services by global tech giants have the potential to empower businesses of all sizes,” she said.

This includes start-ups and micro, small and medium enterprises (MSMEs), whose potential could be unlocked by technology to drive differentiation and market competitiveness, Porat added.

The Google data centre will power Google’s popular digital services, such as Search, Maps, and Workspace, while also playing an essential role in enabling Google to deliver the benefits of Al to users across the country.

When operational, Malaysia will join the 11 countries where Google has built and currently operates data centres to serve users worldwide.

Meanwhile, the Google Cloud region will deliver high-performance and low-latency services to large enterprises, startups, and public sector organisations, enabling their access to services such as data residency, and specific data storage requirements, built around security and legal compliance standards.

Source: Bernama

Zafrul: Google’s RM9.4 bln investment to boost Malaysia’s digital future

Google’s US$2 billion investment (RM9.4 billion) is proof that the government’s clear planning, in addition to Malaysia’s economic strength and resources, is attractive to existing and new investors, said Prime Minister Datuk Seri Anwar Ibrahim.

“Undoubtedly, this places Malaysia as one of the leading countries in the provision of support services for digital technology-based services,“ he said in a post on Facebook today.

Google announced today an investment commitment of RM9.4 billion in Malaysia, including the development of Google’s first data centre in Malaysia and the Google Cloud Region to meet the growing demand for cloud services, both locally and globally, as well as an artificial intelligence (AI) literacy programme for students and educators in this country.

Anwar said Google’s investment will support the government’s agenda in accelerating the country’s digital transformation. “This investment is expected to have a multiplier impact on the Malaysian economy of around US$3.2 billion (RM15.04 billion) and the creation of 26,500 jobs by 2030,“ he added.

Anwar also revealed that in a virtual meeting with Google’s senior management on May 6, he emphasised that in addition to support for the use of AI in general, strategic cooperation should be focused in the fields of education, health and agriculture. “This is important to ensure that Malaysia can take advantage of the latest technology-based skills and approaches,“ he said.

Source: Bernama

Google’s RM9.4 bln investment shows clear govt planning attracts investors – PM Anwar

Google’s latest investment of RM9.4 billion for its first data centre and cloud region will significantly advance the digital ambitions outlined in the country’s New Industrial Master Plan 2030 (NIMP 2030).

Investment, Trade and Industry Minister Datuk Seri Tengku Zafrul Abdul Aziz said the establishment of the Google data centre and Google Cloud region in Greater Kuala Lumpur will empower the country’s manufacturing and service-based industries to leverage artificial intelligence (AI) and other advanced technologies to move up the global value chain.

“We also welcome Google’s plan to help us develop a robust talent ecosystem by facilitating the growth of our people’s digital skills, businesses, and careers. As this attracts further investments, it will spur innovation and drive growth for organisations of all sizes.

“We are confident that Google’s partnership and continued investment will accelerate our nation’s digital transformation, contributing to the MADANI vision towards a more prosperous, technologically advanced Malaysia,” he said in a statement issued by the Ministry of Investment, Trade and Industry (MITI) here today.

The minister said Malaysia’s steadfast commitment to robust digital infrastructure has convinced many multinationals to come to Malaysia’s shores, resulting in RM144.7 billion of digital investments approved from 2021 to 2023.

“As MITI actively nurtures an empowering digital ecosystem that will drive technology-based solutions across various sectors, it will also strengthen our value proposition that Malaysia is where global starts, the place to be for companies to strengthen their regional and global operating success,” he added.

Google’s new commitment is expected to support 26,500 jobs across various sectors in Malaysia, resulting in a huge total economic impact estimated at RM15.04 billion.

“The Malaysia cloud region will join 40 regions and 121 zones currently in operation around the world to meet the growing demand for cloud services locally and globally, as well as artificial intelligence (Al) literacy programmes for Malaysian students and educators.

“This latest commitment by yet another global tech giant to Malaysia represents a key milestone in the MADANI Government’s vision to attract more digital investors into the country, to help build a digitally enabled economy that is both strong and safe,” the ministry said.

It added that the increased capacity of, and reliability on, cloud services will support various sectors, including healthcare, education, and finance, to foster a more connected and resilient world.

This announcement was made after a series of engagements involving Prime Minister Datuk Seri Anwar Ibrahim with Alphabet and Google’s president, chief investment officer and chief financial officer, Ruth Porat.

A memorandum of understanding was also signed between the Malaysian Investment Development Authority (MIDA) with Google on Nov 14, 2023.

Porat, meanwhile, said this investment was built on its partnership with the Malaysian government to advance its ‘Cloud First Policy,’ which includes best-in-class cybersecurity standards.

“With today’s announcement, Malaysia and Google are partnering to advance our shared work to create a supportive ecosystem for innovation and unlock the potential of digital transformation.

“In line with the MADANI Economy Framework, which encourages innovation and inclusivity to help propel Malaysia into the top 30 of global economies by 2033, transformative technologies such as machine learning, natural language processing, and predictive analytics powered by cloud and AI services by global tech giants have the potential to empower businesses of all sizes,” she said.

This includes start-ups and micro, small and medium enterprises (MSMEs), whose potential could be unlocked by technology to drive differentiation and market competitiveness, Porat added.

The Google data centre will power Google’s popular digital services, such as Search, Maps, and Workspace, while also playing an essential role in enabling Google to deliver the benefits of Al to users across the country.

When operational, Malaysia will join the 11 countries where Google has built and currently operates data centres to serve users worldwide.

Meanwhile, the Google Cloud region will deliver high-performance and low-latency services to large enterprises, startups, and public sector organisations, enabling their access to services such as data residency, and specific data storage requirements, built around security and legal compliance standards.

Source: Bernama

Google’s RM9.4 bln investment to advance digital ambitions outlined in NIMP 2030

Technology giant Google is set to invest US$2 billion (RM9.4 billion) in Malaysia, including the development of its first Google data centre and Google Cloud region to meet the growing demand for cloud services locally and around the world, and artificial intelligence (Al) literacy programmes for students and educators.

Alphabet Inc (Alphabet) president and chief investment officer, who is also Google’s chief financial officer, Ruth Porat, said Google’s first Malaysian data centre and Google Cloud region is the group’s largest planned investment so far in Malaysia – a place Google has been proud to call home for 13 years.

“This investment builds on our partnership with the Malaysian government to advance its ‘Cloud First Policy,’ including best-in-class cybersecurity standards.

“With today’s announcement, Malaysia and Google are partnering to advance our shared work to create a supportive ecosystem for innovation and unlock the potential of digital transformation,” she said in a statement today.

Alphabet is the holding company of Google.

Google said its investment is estimated to support more than US$3.2 billion (RM15.04 billion) in positive economic impact and 26,500 jobs by 2030.

It said the data centre will power its popular digital services, such as Search, Maps, and Workspace, that billions of people and organisations worldwide use every day, including those in Malaysia.

“It (the data centre) will also play an essential role in enabling Google to deliver the benefits of Al to users and customers across the country.

“When operational, Malaysia will join the 11 countries where Google has built and now operates data centres serving users around the world,” it said.

Concerning the Google Cloud region, Google said it will deliver high-performance and low-latency services to large enterprises, startups, and public sector organisations.

It said Google Cloud customers will benefit from key controls that allow them to maintain the highest security, data residency, and compliance standards, including specific data storage requirements.

“The cloud region will be complemented by Google Cloud’s existing Dedicated Cloud Interconnect locations in Cyberjaya and Kuala Lumpur, which provide direct connections between an organisation’s on-premises network and Google Cloud’s global network.

“The Malaysia cloud region will join 40 regions and 121 zones currently in operation around the world,” it said.

Commenting on the announcement, Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said Google’s US$2 billion investment will significantly advance the digital ambitions outlined in Malaysia’s New Industrial Master Plan 2030 (NIMP 2030).

He said the Google data centre and Google Cloud region in Greater Kuala Lumpur, in particular, will empower the country’s manufacturing and service-based industries to leverage AI and other advanced technologies to move up the global value chain.

“We are confident that Google’s partnership and continued investment will accelerate our nation’s digital transformation, contributing to the MADANI vision toward a more prosperous, technologically advanced Malaysia,” he said.

In November 2023, the government and Google entered into a strategic collaboration to create inclusive growth opportunities for more Malaysians and homegrown companies using AI and cloud technologies.

Source: Bernama

Google to invest RM9.4 bln in Malaysia, support over RM15.04 bln in positive economic impact

Google’s US$2 billion (RM9.4 billion) investment will provide added value to efforts to improve the artificial intelligence (AI) literacy programme for the benefit of students and teachers, said the Ministry of Education (MoE).

The MoE, which welcomed Google’s announcement, said the investment would also meet the growing needs of cloud computing.

“Initiatives like the ongoing Gemini Academy and Experience AI are in line with the Digital Education Policy (DPD), which aims to produce a digitally fluent and competitive generation.

“This is implemented through the improvement of knowledge, skills and values of students, educators and education leaders; the provision of quality digital infrastructure, infostructure and content; and the active participation of strategic partners in an integrated and comprehensive manner from pre-school to high school,” it said in a statement today.

In this context, the MoE said cooperation with technology leaders like Google is crucial to enhance the implementation of the DPD and ensure the success of national education reform efforts.

Google announced today an investment commitment of RM9.4 billion in Malaysia, including the development of Google’s first data centre in Malaysia and the Google Cloud Region to meet the growing demand for cloud services, both locally and globally, as well as an artificial intelligence (AI) literacy programme for students and educators in this country.

Source: Bernama

Google’s RM9.4 billion investment gives added value to teachers, students – MoE

Google’s investment of US$2 billion (RM9.4 billion) in Malaysia is a positive indicator that investors have strong confidence in the administration of the Madani Government, said Communications Minister Fahmi Fadzil.

Hence, he said this should also serve as a motivation for Malaysia to increase work productivity while also moving smarter to lure more investments into the country.

“I was informed that several destination countries were also under their (Google’s) consideration.

“I believe that after several meetings (with Google), including with me, what we conveyed and our performance were evaluated positively, leading to the announcement of this investment from Google,” he told reporters after attending the Ministry of Communications’ monthly assembly here today.

Fahmi, who is also the Unity Government spokesman, said the rapid realisation of this investment also demonstrates the Madani Government’s commitment to having a clear direction as desired by investors.

Google announced today an investment commitment of RM9.4 billion in Malaysia, including the development of Google’s first data centre in Malaysia and the Google Cloud Region to meet the growing demand for cloud services, both locally and globally, as well as an artificial intelligence (AI) literacy programme for students and educators in this country.

Meanwhile, the Ministry of Education (MoE) said Google’s investment will provide added value to efforts to improve the AI literacy programme for the benefit of students and teachers.

The MoE, which welcomed Google’s announcement, said the investment would also meet the growing needs of cloud computing.

“Initiatives like the ongoing Gemini Academy and Experience AI are in line with the Digital Education Policy (DPD), which aims to produce a digitally fluent and competitive generation.

“This is implemented through the improvement of knowledge, skills and values of students, educators and education leaders; the provision of quality digital infrastructure, infostructure and content; and the active participation of strategic partners in an integrated and comprehensive manner from pre-school to high school,” it said in a statement.

In this context, the MoE said cooperation with technology leaders like Google is crucial to enhance the implementation of the DPD and ensure the success of national education reform efforts. 

Source: Bernama

Google’s US$2b investment reflects investors’ strong confidence in govt: Fahmi

Technology giant Google is set to invest US$2 billion (RM9.4 billion) in Malaysia, including the development of its first Google data centre and Google Cloud region to meet the growing demand for cloud services locally and around the world, as well as artificial intelligence (Al) literacy programmes for students and educators.

Ruth Porat, president and chief investment officer, and chief financial officer of Alphabet and Google, said Google’s first Malaysian data centre and Google Cloud region is the group’s largest planned investment so far in Malaysia — a place Google has been proud to call home for 13 years.

The site will be located at Sime Darby Property Bhd’s Elmina Business Park.

“This investment builds on our partnership with the Malaysian government to advance its ‘Cloud First Policy’, including best-in-class cybersecurity standards.

“With today’s announcement, Malaysia and Google are partnering to advance our shared work to create a supportive ecosystem for innovation and unlock the potential of digital transformation,” she said in a statement today.

Alphabet is the holding company of Google.

Google said its investment is estimated to support more than US$3.2 billion (RM15.04 billion) in positive economic impact and 26,500 jobs by 2030.

It said the data centre will power its popular digital services, such as Search, Maps and Workspace, that billions of people and organisations worldwide use every day, including those in Malaysia.

“It (the data centre) will also play an essential role in enabling Google to deliver the benefits of Al to users and customers across the country.

“When operational, Malaysia will join the 11 countries where Google has built and now operates data centres serving users around the world,” it said.

Concerning the Google Cloud region, Google said it will deliver high-performance and low-latency services to large enterprises, startups and public sector organisations.

It said Google Cloud customers will benefit from key controls that allow them to maintain the highest security, data residency and compliance standards, including specific data storage requirements.

“The cloud region will be complemented by Google Cloud’s existing Dedicated Cloud Interconnect locations in Cyberjaya and Kuala Lumpur, which provide direct connections between an organisation’s on-premises network and Google Cloud’s global network.

“The Malaysia cloud region will join 40 regions and 121 zones currently in operation around the world,” it said.

Commenting on the announcement, Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said Google’s US$2 billion investment will significantly advance the digital ambitions outlined in Malaysia’s New Industrial Master Plan 2030.

He said the Google data centre and Google Cloud region in Greater Kuala Lumpur, in particular, will empower the country’s manufacturing and service-based industries to leverage AI and other advanced technologies to move up the global value chain.

“We are confident that Google’s partnership and continued investment will accelerate our nation’s digital transformation, contributing to the Madani vision toward a more prosperous, technologically advanced Malaysia,” he said.

In November 2023, the government and Google entered into a strategic collaboration to create inclusive growth opportunities for more Malaysians and homegrown companies using AI and cloud technologies.

Meanwhile, Malaysian Investment Development Authority (Mida) chief executive officer Sikh Shamsul Ibrahim Sikh Abdul Majid said Google’s decision to establish its first data centre in Malaysia demonstrates its confidence in Malaysia’s robust infrastructure, skilled workforce and favourable business climate.

“This data centre will not only bring Google’s advanced cloud, data analytics and AI services closer to local businesses, educational institutions and the rakyat, it will also solidify Malaysia’s position as a regional innovation hub, empowering users and ecosystem players alike to harness cutting-edge technology for their growth and development,” he said.

Sikh Shamsul Ibrahim added that Mida remains committed to facilitating further investments and supporting Google’s continued growth in Malaysia.

Source: Bernama

Google to invest RM9.4 bln in Malaysia, develop data centre, cloud region

Mah Sing Group Bhd makes its maiden entry into the data centre sector with the launch of Mah Sing DC Hub@Southville City, in partnership with Bridge Data Centres (BDC).

Following the data centre establishment, both companies have signed a landmark collaboration agreement, witnessed by Deputy Prime Minister cum Minister of Energy Transition and Water Transformation Datuk Seri Fadillah Yusof.

Mah Sing has earmarked 60.70 hectares (ha) of landbank at Southville City for further expansion into a leading Data Centre Hub with a planned capacity of up to 500 megawatts (MW).

“While this is Mah Sing’s initial venture into the data centre sector, the collaboration with BDC on the initial 7.10ha land for a data centre with a planned capacity of up to 100MW is just the beginning.

“We envision Mah Sing DC Hub@ Southville City to be a holistic digital infrastructure ecosystem, meticulously designed to accommodate the demands of artificial intelligence (AI), hyperscale, retail, and enterprise service providers,” the property developer said in a joint statement today.

It said this state-of-the-art facility is specifically engineered to support cutting-edge applications like AI computation and large-scale data storage.

“Consequently, Mah Sing DC Hub is poised to attract a diverse clientele, including leading technology corporations, telecommunication giants, and prominent financial institutions.

“This strategic move underscores Mah Sing’s commitment to enhancing Malaysia’s digital infrastructure, further driving technological innovation and economic growth in the region,” it said.

Strategically located just 19 kilometres from Kuala Lumpur City Centre, Southville City is a mature township equipped with the essential infrastructure to support this major development, it added.

“Within the proximity of Telekom Malaysia’s ™ upcoming new cable landing station in Morib, Selangor, Mah Sing DC Hub@Southville City will be able to provide a dark fibre network for the data centre hub.

“Expected to be completed in the first quarter of 2025, TM’s Morib landing station will be a key landing site for Malaysia,” it said.

Meanwhile, Fadillah said this joint-venture initiative between Mah Sing and BDC aligned with Malaysia’s digital transformation agenda and economic growth, reinforcing the nation’s position as a prime location for data centre investment in the Asia-Pacific region.

“It also reflects the strong confidence and trust that investors have in our strategic and supportive environment. The establishment of a cutting-edge data centre in Southville City will meet the growing demand for digital infrastructure, positioning Malaysia as the digital hub of Asean,” he said.

Source: Bernama

Mah Sing partners bridge data centres to launch Mah Sing DC Hub@Southville City