Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz said the collaboration with electric vehicle (EV) manufacturer Tesla is expected to drive Malaysia to be the main green technology hub in the region.

In a discussion with the Tesla Malaysia delegation today, the minister said Tesla has reiterated its support for the local ecosystem by involving nine Malaysian companies in developing EV charging infrastructure. It will also collaborate with local higher education institutions for knowledge transfer and human capital development.

“May this joint effort continue to grow, bringing great benefits to our country’s economy, technology, and sustainable energy,“ he said on his social media after discussions with the Tesla Malaysia delegation.

Tengku Zafrul said today’s discussion focused on the progress and implementation of the Global Battery Electric Vehicle (BEV) AP Scheme.

Until the end of July 2024, Tesla has successfully installed 52 units of Supercharger chargers with a capacity of 250KW, 54 units of Wall Connector AC chargers, and more than 4,500 units of home chargers in Peninsular Malaysia.

With an investment reaching US$13.5 million (RM59.06 million), Tesla has shown a strong commitment to the development of EV charging infrastructure in Malaysia.

“We also discussed the great potential of battery energy storage technology which is expected to increase energy efficiency and the stability of Malaysia’s electricity grid,“ the minister added.

Source: Bernama

Collaboration with Tesla expected to drive Malaysia to be main green technology hub in region – Tengku Zafrul

Amazon Web Services (AWS), an Amazon.com Inc. company, has launched the AWS Asia Pacific (Malaysia) Region with plans to invest about US$6.2 billion (RM29.2 billion) in Malaysia through 2038.

In a statement issued from Seattle, the United States, the company said that starting today, developers, startups, entrepreneurs, and enterprises, as well as government, education, and non-profit organisations, will have greater choices for running their applications and serving end users from AWS data centres located in Malaysia.

“The construction and operation of the new AWS Region is estimated to add approximately US$12.1 billion (RM57.3 billion) to Malaysia’s gross domestic product and will support an average of more than 3,500 full-time equivalent jobs at external businesses annually through 2038.

“These jobs, including construction, facility maintenance, engineering, telecommunications, and others within the country’s broader economy, will be part of the AWS supply chain in Malaysia,” it said.

With the launch of the AWS Asia Pacific (Malaysia) Region, AWS has 108 availability zones across 34 geographic regions, with announced plans to launch 18 more availability zones and six more AWS Regions in Mexico, New Zealand, Saudi Arabia, Taiwan, Thailand, and the AWS European Sovereign Cloud.

It said the AWS Asia Pacific (Malaysia) Region consists of three availability zones located far enough from each other to support customers’ business continuity but near enough to provide low latency for high availability applications that use multiple availability zones.

“Each availability zone has independent power, cooling, and physical security, and is connected through redundant, ultra-low-latency networks,” AWS said.

AWS customers focused on high availability can design their applications to run in multiple availability zones to achieve even greater fault tolerance.

“With today’s launch, AWS is proud to support Malaysia’s digital transformation and help accelerate its role as a regional hub for artificial intelligence (AI),” said AWS vice-president of infrastructure services Prasad Kalyanaraman.

Meanwhile, Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the launch of an AWS infrastructure region in Malaysia provides access to new and emerging technology for Malaysian entities and businesses of all sizes, boosting our country’s capabilities for digital innovation.

This milestone is a significant step towards fulfilling the vision of Malaysia’s New Industrial Master Plan 2030 to build a highly-skilled, innovative, prosperous, inclusive, and sustainable economy.

“We recognise the transformative power of digitalisation, cloud computing and AI as key drivers in Malaysia’s effort to become a manufacturing and services hub within Asia.

“As the largest investment made by an international technology company in Malaysia, the AWS infrastructure region will help ensure Malaysia remains competitive on the global stage,” he said.

AWS offers the broadest and deepest portfolio of services, including analytics, computing, database, the Internet of Things, generative AI, machine learning, mobile services, storage, and other cloud technologies.

Customers from startups and enterprises to public sector organisations and non-profits would be able to use advanced technologies from the world’s leading cloud provider to drive innovation, meet data residency preferences, achieve lower latency, and serve demand for cloud services in Malaysia and across the Asia Pacific.

Source: NST

Amazon launches AWS Asia Pacific (Malaysia) region, to invest over RM29 bln

SD Guthrie Bhd (KL:SDG), the world’s largest palm oil producer by acreage, said on Thursday its venture into renewable energy may begin to contribute to its earnings within the next two years.  

The company formerly known as Sime Darby Plantation Bhd is focusing on projects under the Corporate Green Power Programme, which could produce income before the end of 2025, group managing director Datuk Mohamad Helmy Othman Basha said during a virtual earnings briefing.

If the projects materialise and the company secures the assets and necessary agreements by end of this year, “2026 and 2027 are when the impact on the bottom line will be”, he said.

SD Guthrie has leased 11 sites for renewable energy projects with a total capacity of 227 megawatts through the programme. Mohamad Helmy has previously said that every megawatt requires an investment of about RM2.5 billion over the next three to five years, and deliver a return of 8% to 13%.

The company has also participated in the tender process for Large-Scale Solar 5 (LSS5) that closed for bidding on July 25, in addition to leasing its land to owning green energy projects.

SD Guthrie also aims to grow its renewable energy segment through third-party access that would allow an electricity buyer to negotiate pricing directly with a renewable energy power plant for green electricity supply.

“We are excited about this,” Mohamad Helmy said. “We can put up a solar farm wherever we have available land” that is less productive for oil palm trees, he said.

On the proposed development of a port city on Carey Island by the Selangor government, Mohamad Helmy expects the project to have a “huge impact” on SD Guthrie as the company owns about 85% of land on the island.

He did not elaborate further as the project is still pending government approvals.

At Thursday’s noon break, shares in SD Guthrie were five sen or 1.11% higher at RM4.56, giving the group a market capitalisation of RM31.54 billion.

Source: The Edge Malaysia

SD Guthrie expects renewable energy venture to contribute to earnings over next two years

Malaysia’s participation in BRICS will underscore the country’s potential as a gateway for economic activities in Asean countries, said an economist.

INCEIF University economic analyst Baharom Abdul Hamid said Malaysia is also able to take advantage of trade opportunities to increase market access, thereby attracting more investments from the BRICS countries.

He said Malaysia has applied to join BRICS, a cooperation bloc for emerging economies established in 2009 and includes Brazil, Russia, India, and China, followed by South Africa’s participation in 2010.

In January 2024, countries including Iran, Egypt, Ethiopia, and the United Arab Emirates also joined as new members.

“When we join an economic bloc, we will enjoy some (benefits, such as) tax relief, non-tariff barriers and others.

“Brazil, for example, is one of the biggest contributors of halal meat imports to Malaysia. Therefore, Malaysia has the potential to become a major gateway for halal food from Brazil at a lower cost.

“We can use this opportunity to be a gateway not only for food sources in Malaysia but as a hub for other Asean countries’ food sources,” Baharom said during Bernama TV’s ‘Ruang Bicara’ programme yesterday.

In addition, Malaysia, one of the world’s largest semiconductor producers, has the potential to expand cooperation with China, the main producer of electric vehicles.

“We need to continue our cooperation with China as a complement to the semiconductor sector for industrial use in China. At the same time, we should also expect China to further increase investments in Malaysia,” he said.

Baharom also stressed the importance of Malaysia’s participation in BRICS to be accompanied by strategic planning, ensuring economic spillover to several sectors and industries in the country as well as maximising trade and investment potentials that benefit the domestic economy.

“We need to make sure that by joining the BRICS, micro, small, and medium enterprises (MSMEs) are also protected.

“We do not want there to be an overflow of foreign goods that could otherwise affect local MSMEs,” he said.

For that purpose, careful planning should be done to evaluate which sectors are suitable to be opened and which should be protected.

In the meantime, Baharom urged the government to make periodic reports with transparency and integrity to see the overall impact of BRICS membership on the national economy.

Source: Bernama

Joining BRICS will highlight Malaysia’s potential as Asean economic activity gateway

Korean investment firm GG56 Korea Ltd will invest US$1 billion (RM4.37 billion) in Forest City to develop Malaysia’s first Korean Culture Town.

This is following the signing of a memorandum of agreement (MOA) with Forest City’s master developer Country Garden Pacificview Sdn Bhd (CGPV) to develop the project, which will include K-Content Production Studios, an international Cultural District and a world-class residential development.

CGPV executive director Datuk Md Othman Yusof said the MOA marked a significant milestone in the ongoing development of Forest City, further solidifying its position as a global hub for innovation, culture and sustainable growth.

“This MOA is not just a formal agreement, it reflects our shared vision for Forest City and we are thrilled to collaborate with GG56 Korea to bring these transformative projects to life.

“Together, we will build a city that stands as a testament to innovation, culture, and sustainable development,” he told reporters after the signing ceremony here on Wednesday.

The agreement was signed by Md Othman on behalf of CGPV while GG56 Korea was represented by its chief executive officer and co-founder Kim Young Kun, and Chung Dong Wan, chairman of CMK Consortium, a subsidiary of GG56 Korea.

Meanwhile, Kim said the agreement provided an opportunity for the company to create something extraordinary in Forest City.

“Through our collaboration with CGPV, we aim to contribute to the city’s growth and establish it as a leading global destination,” he said.

Forest City is a visionary urban project in Johor Bahru. It is designed to be a smart, green and sustainable city that integrates residential, commercial and industrial spaces with cutting-edge technology and infrastructure.

GG56 Korea is an investment firm with a focus on high-impact projects in areas such as healthcare, entertainment, technology, and real estate.

Source: Bernama

Korean firm to invest US$1b in Forest City to develop first K-culture town

Malaysia welcomes Japan’s support and cooperation in accelerating the country’s energy transition journey to decarbonisation and achieving net-zero greenhouse gas (GHG) emissions by 2050, said Economy Minister Rafizi Ramli on Wednesday.

He said the national document, the National Energy Transition Roadmap (NETR), that aims to accelerate the energy transition was largely inspired by the inaugural Asia Zero Emission Community (AZEC) Ministerial Meeting last year.

“We anticipate that AZEC’s contributions will be instrumental in driving forward the shift towards more sustainable and low-carbon energy solutions which are crucial for the future of our region,” he said in a joint press conference after the 2nd AZEC Ministerial Meeting here.

Rafizi said the just concluded meeting has achieved its objectives in further enhancing the existing close cooperation, particularly enhancing energy trilemma namely security, affordability and sustainability.

He highlighted that Malaysia, as an AZEC partner country, had revised its renewable energy target, setting a more ambitious goal of achieving 70 per cent installed capacity by 2050, an increase from the previous target of 40 per cent by 2035.

The Malaysian government has also initiated several key measures, including the implementation of solar projects on a wide scale, the establishment of Energy Exchange Malaysia to promote cross-border green electricity sales to neighbouring countries, the NETR flagship projects as well as 50 key initiatives which are currently on track and progressing well.

The anticipated presentation of the Carbon Capture, Utilisation, and Storage (CCUS) Bill later this year will comprehensively regulate all aspects of CCUS, while the forthcoming Climate Change Bill, expected to be finalised by June 2025, will introduce critical mechanisms such as carbon pricing to address and mitigate the impacts of climate change, he said.

Meanwhile, Rafizi said Malaysia is honoured to co-host next year’s meeting with Japan in Kuala Lumpur after the recent in-principle approval from the Cabinet.

“This 2025 meeting represents not only our commitment to decarbonisation but also our dedication to establishing Malaysia as the energy hub of the region,” he added.

AZEC is launched by 11 partner countries in 2023 as a platform that seeks to further advance decarbonisation in Asia towards the goal of carbon neutrality while achieving economic growth and energy security, creating various pathways tailored to each country’s circumstances.

Source: Bernama

Malaysia Welcomes Japan’s Support In Accelerating Energy Transition — Rafizi

IJM Corp Bhd (KL:IJM) has secured two contracts with a combined value of RM561 million for the construction of data centres in Johor and an industrial manufacturing facility in Penang.

In a statement, IJM Corp said the RM508 million data centre construction project was awarded by an international data centre developer, whose name was not disclosed. The project involves the construction of two data centre buildings in Gelang Patah, Johor.

The first building is scheduled for completion in the third quarter of 2025 (3Q2025), while the second building is expected to be completed in 1Q2026.

The project was secured through a 50:50 joint venture between IJM Corp’s construction unit, IJM Construction Sdn Bhd, and Woh Hup Malaysia Sdn Bhd. This means IJM Corp’s share of the contract is valued at RM254 million.

Woh Hup Malaysia is a unit of Woh Hup (Private) Ltd, a Singapore-based civil engineering firm that secured its first data centre project in 2016 and has since completed six data centres in India, Indonesia, and Singapore for international developers.

Separately, IJM Construction has independently secured a RM307 million contract for the construction of a new electrical and electronics (E&E) manufacturing and warehousing facility in Batu Kawan, Penang.

The 560,000 sq ft facility, located on a 20-acre (8.09-hectare) plot within the Bandar Cassia Technology Park, is intended for a US-based company in the E&E sector.

The facility aims to support growth in the semiconductor capital equipment and healthcare device markets by developing the E&E supply chain ecosystem. Construction of the facility is set to begin this month, with completion expected by October 2025.

The two contracts have increased IJM Construction’s secured jobs year-to-date to RM1.9 billion. Including the RM6 billion outstanding order book as of March 31, the group’s total order book now stands at RM7.9 billion.

IJM Corp group chief executive officer and managing director Lee Chun Fai said that securing the contracts highlights IJM Construction’s expertise in managing complex projects on accelerated schedules, especially as specialist builders of industrial buildings, data centres, and integrated logistics centres.

“By leveraging advanced construction methods like Smart IBS (the industrialised building system) and our industry division’s pretensioned high-strength concrete spun piles, we ensure efficiency, quality and environmental responsibility. The increasing demand for data centres and E&E facilities aligns with our strategic focus, opening new avenues for growth in these critical sectors.

“Collaborating with reputable partners such as Woh Hup enhances our ability to meet industry demands and deliver reliable results,” he elaborated.

It is worth noting that IJM Corp had in June secured a contract to design and build a data centre for a subsidiary of Telekom Malaysia Bhd (KL:TM) in Iskandar Puteri, Johor, for RM331.7 million. The project — known as Block 2 of the Iskandar Puteri Data Centre — was secured from TM Technology Services Sdn Bhd, also via its wholly owned IJM Construction. Construction of the data centre will begin in July 2024 and is slated for completion by 3Q2025.

Source: The Edge Malaysia

IJM Corp bags RM561m contracts to build data centres and industrial manufacturing facility

The Ministry of Investment, Trade and Industry (MITI) is looking into carbon tax implementation to encourage green investment in the country, particularly involving sectors that produce high carbon emissions.

Its minister, Tengku Datuk Seri Zafrul Abdul Aziz said the carrot and stick approach (reward and punishment) is crucial in ensuring transparency and a fair environment for businesses.

In term of punishment, he said all developed countries are more towards carbon tax.

“We are discussing with the Finance Ministry (MoF) and Natural Resources and Environmental Sustainability Ministry (NRES) to see how this can be implemented.”

“In fact, this was discussed at the National Investment Council and the MoF has been given a timeline to look into this matter and they need more time to study it holistically,” he said.

For example, Tengku Zafrul said, only one sub-sector of the manufacturing sector already contributes almost 25 percent of the country’s carbon emissions.

“Of course, if we have a stick approach, we need to make sure that companies are ready to comply,” he said at a media conference after presenting the Green Investment Strategy here today.

According to Tengku Zafrul, if the carbon tax is not implemented, companies will not have much incentive to carry out investments to reduce their respective carbon emissions, as it involves higher costs.

“Businesses that investsto improve their carbon emission will definitely be incurring higher costs. So they’d be less competitive than (a business) that was not investing in reducing their carbon emission,” he added.

During the presentation, Tengku Zafrul said the Green Investment Strategy (GIS) aspires to make Malaysia a major green investment destination by 2030 based on the goal of net zero and socio-economic prosperity in the NETR and New Industrial Master Plan (NIMP) 2030.

According to him, 65 per cent of the green investments achieved in Malaysia are dominated by domestic investment and hence, the GIS is anticipated to increase the foreign investment portion.

He said the GIS anticipates to contribute RM80 billion to the gross domestic product (GDP) by 2030 and will create 350,000 high-skilled jobs to boost the nation’s socio-economic development.

Tengku Zafrul said the GIS will increase investment competitiveness, with Malaysia’s Global Competitiveness and Global Opportunity Index standing expected to be in the top 20 by 2030.

The GIS also aims to reduce the nation’s carbon intensity as much as 45 per cent by 2030 from 33 per cent in 2021 while gaining Grade A in the Sustainalytics Rating from Grade C, he said.

Source: NST

MITI looking at imposing carbon tax to spur green investments in the country – Tengku Zafrul

The Investment, Trade and Industry Ministry (MITI) aims to attract RM300 billion worth of green investments by 2030 to achieve Malaysia’s net zero emission commitments.

MITI Minister Tengku Datuk Seri Zafrul Abdul Aziz said Malaysia achieved realised green investments of about RM40 billion between 2017 and 2023.

“In the Green Investment Strategy (GIS), we plan to increase it to RM300 billion up to 2030. That is a very aggressive target but that is the target we need to achieve.

“This is a 7.5 times increase that we need, and this is in line with the National Energy Transition Roadmap, which aims to achieve RM300 billion over the next decade so that we can achieve net zero carbon emission by 2050,” he told a Green Investment Strategy media conference here today.

According to him, the Green Investment Strategy was designed, taking into account various key policies to ensure a holistic, complementary approach with no overlapping.

It complements the country’s long-term policies such as the 12th Malaysia Plan and MADANI Economic framework, setting the direction for an inclusive and sustainable economic development.

As for Budget 2025, Tengku Zafrul said local companies need Finance Ministry incentives to make that transition into green energy.

For example, factories that lack efficiency will result in more carbon emissions. They need to invest in newer technology to improve efficiency.

“ That is an investment cost. If possible, we want to look into how local companies and small and medium enterprises benefit from the incentives or lower funding to make that transition,” he added.

In terms of socio-economic growth, Tengku Zafrul said the Green Investment Strategy is expected to contribute RM80 billion to the gross development product (GDP) and create 350,000 high-skilled jobs by 2030.

Zafrul also said MITI will work with Bank Negara Malaysia to expand the criteria and scope of green financing.

“We want to enlarge the criteria as well as financing scope to make it more inclusive, especially among small and medium-sized enterprises who faced challenges meeting financing conditions,“ he added.

Source: Bernama

MITI aims to attract RM300b of green investments by 2030

Prime Minister Datuk Seri Anwar Ibrahim wants all parties to support and play a role in achieving Malaysia’s aspirations to be among the top 20 countries in terms of artificial intelligence (AI) technology.

For that purpose, he wants researchers, developers and decision-makers to work together to develop and adopt AI-related technology responsibly and ethically.

“We (the government) have agreed to help build the national AI ecosystem, especially in terms of having a centre of excellence to facilitate AI learning and research, including creating Malaysia’s very own AI cloud computing system.

“At the same time, I also want to stress that human values, data protection and the responsible use of technology are all affected and given a new meaning by this technology,” he said in his opening speech at the International Conference on Innovation and Entrepreneurship in Computing, Engineering and Education Science (InvENT 2024) at Universiti Teknologi Mara (UiTM) Shah Alam here today.

His speech text was read out by Deputy Higher Education Minister Datuk Mustapha Sakmud.

Anwar said that despite helping to improve the quality of life, efficiency and creativity of humans, the modern and dynamic Generative AI technology also has a dark side that society needs to be aware of.

The Prime Minister said deep fake technology, for example, is capable of eroding trust in digital reality and fundamentally changing the public’s perception of reality, threatening the integrity of information and causing confusion.

As such, he said the government’s general approach is to minimise risk by identifying the risks associated with the impact of AI on society and people’s lives.

“However, at the same time, we also need policies and laws to avoid the issue of leakage in AI governance,” he said.

In his speech, Anwar also touched on the regulatory aspects where Malaysia is now actively involved in forming digital economy cooperation at the ASEAN level, including the Digital Economy Framework Agreement (DEFA) in addition to the Cyber Security Bill 2024 tabled last March.

He said the Personal Data Protection Department is also in the final stage of formulating the bill to amend the Personal Data Protection Act 2010 [Act 709] in addition to the national data sharing bill, which is being formulated by the National Digital Department.

Source: Bernama

PM Anwar calls on all parties to support Malaysia’s aspiration to be top 20 AI nation

The rapid growth of data centres, particularly in the Klang Valley and Johor, is ramping up job opportunities and production as Malaysia aims to emerge as South-East Asia’s main data centre hub.

As the country is set to rake in RM3.6bil in revenue from the data centre industry next year – an increase from the RM2.09bil in 2022 – specialised jobs in engineering and management are expected to flourish.

In a recent interview, Malaysia Digital Economy Corporation (MDEC) chief executive officer Mahadhir Aziz said the growth of data centres in Malaysia is poised to generate significant indirect job opportunities across various sectors, including manufacturing, construction and logistics.

He said data centres are fundamentally engineering-driven enterprises, with a wide range of engineering roles required during various phases, such as design, planning, site acquisition and construction.

“These roles span across civil, electrical, cooling, mechanical, fire mitigation, and physical security engineering.

“During the operational phase, additional roles will emerge in facilities and data centre management and operations to ensure smooth, sustainable operations and to address any potential issues that arise,” he added.

Mahadhir said the growing demand for the materials, components and technology required for data centre construction and maintenance would also boost the local manufacturing industry.

In recent years, several global tech giants like Google, Amazon Web Services (AWS) and Microsoft have mooted plans to develop cloud computing infrastructure in Malaysia, with AWS looking into a long-term investment of up to US$6bil (RM26.6bil) up to the year 2037.

Earlier this month, Deputy Communications Minister Teo Nie Ching said RM76bil worth of data centre-related investments had been approved by the Investment, Trade and Industry Ministry via the Malaysian Investment Development Authority from 2021 to March 2024.

She said the country was seeing more industry players investing in the digital economy and data centre operations.

Meanwhile, Mahadhir said data centres would also require non-technical roles in human resources, finance and project management, as well as environment, health, and safety.

“As businesses, data centres also necessitate the usual senior management roles, client services, customer training, sales and marketing, public policy, corporate affairs, and more.”

In anticipating future demand for skilled labour for data centre and related manufacturing sectors, Malaysia’s education and vocational training institutions also have a critical role to play, he said.

Collaboration with industry players is also essential to ensuring that curricula are not only up to date with industrial demand but also anticipate future trends.

“This alignment will create a talent pipeline that is well prepared to support the rapid expansion of the data centre sector,” said Mahadhir.

Source: The Star

Data hubs to bring change

Ai pioneer Sam altman’s firm in four-party tech tie-up in Malaysia

Malaysia’s digital economy is expected to be strengthened with a four-party tie-up that includes a company started by artificial intelligence (AI) pioneer Sam Altman.

The four are MYEG Services Bhd, a provider of digital government services in Malaysia; Mimos Bhd, the national applied research and development (R&D) centre; the Worldcoin Foundation; as well as Tools for Humanity (TFH), a technology company co-founded in 2019 by Altman, Alex Blania and Max Novendstern.

TFH has a stated commitment to equitable economic systems and social inclusiveness, while the Worldcoin Foundation’s vision is to realise more inclusive and just institutions of governance and of the global digital economy.

MYEG said this strategic alliance is expected to revolutionise Malaysia’s blockchain infrastructure and digital ecosystem by fast-tracking the adoption of blockchain technology on a national scale following the signing of a memorandum of understanding in October 2022 between MYEG and Mimos.

“The partnership synergises Mimos’ prowess in research and development of information and communications technology (ICT) with MYEG’S advanced Zetrix blockchain platform, heralding a new era of digital transaction and service delivery.

“Through this joint effort, the blockchain infrastructure is anticipated to evolve with state-of-theart credential verification technology.

“This move stands to democratise the digital economy by infusing Mimos’ R&D ingenuity and the Worldcoin Foundation’s extensive blockchain acumen into Malaysia’s socioeconomic fabric,” it said yesterday.

According to MYEG, TFH will help ensure a more just economic system and will bring its wealth of experience in developing digital solutions for marginalised populations.

“It will work closely with Mimos and the Worldcoin Foundation to create innovative tools and platforms that address critical societal issues such as education, healthcare, and environmental sustainability,” it added.

MYEG also said it will work to incorporate the solutions developed by Mimos, Worldcoin, and TFH into existing government service delivery systems to ensure that citizens can access these services conveniently and securely.

“This collaboration is set to significantly impact Malaysia’s digital economy. It will enhance the security and efficiency of digital transactions, building trust in online platforms and motivating businesses to embrace digital transformation.

“This, in turn, will drive innovation, create jobs, and fuel economic growth.

“Furthermore, the collaboration will support the development of a skilled workforce in digital technology. Through training programmes and educational initiatives, the partners in this alliance will equip Malaysians with the knowledge and skills needed to thrive in the digital age,” it added.

Source: The Star

Digital economy to get a boost

DATA centres are critical infrastructure in the development of an ecosystem for the digital economy and their spinoff effects are huge, says Minister of Digital Gobind Singh Deo.

In an interview with The Edge, he says many of the solutions needed today — whether by governments or companies — are based on artificial intelligence (AI), which requires a lot of data centre capacity.

“For example, if you want AI, it runs on data. GenAI runs on data, right? We’ve got new technology that will be created in years to come. So, at the end of the day, it’s a question of making sure you have that infrastructure within your jurisdiction that you can use, and it will support the economy around you,” Gobind explains.

On the investments that have flowed into Malaysia recently, Gobind says the huge jump was fuelled by the country’s focus on getting digital investments, including in data centres and cloud computing.

Malaysia recorded a 23% year-on-year jump in approved investments to RM329.5 billion in 2023. Prime Minister Datuk Seri Anwar Ibrahim said the surge in investments was in line with the rapid growth of the digital economy.

The digital economy contributed about 23% to the country’s gross domestic product (GDP) from 2021 to 2023. The target now is to increase the contribution to 25.5% by 2025.

Malaysia’s focus on data centres has received some criticism as the investments do not seem to be adding much value to the economy despite the amount that has flowed in. That is because data centres are essentially conduits of the flow of data, rather than an economic activity that provides high-income jobs or generates a lot of revenue for the country.

“You’ve got to think about the bigger picture … you’ve got ministries that are looking at problems that they have today and solutions that they want to put in place. The solutions are AI-based,” says Gobind.

“You’ve got industries that have problems which they can overcome using AI. That again is a solution that’s AI-based. You’ve got new companies that will build up, they will start, new economies will emerge, new industries will emerge.

“The income that they are making will be a lot higher because they are now industries that are tech-based. So, the spinoff effect of this will be extra jobs because there will be new companies that will emerge using the technology.”

In Google’s Data Centre Impact Report 2023 on Loudon County, Virginia, the digital giant said it added about US$1.1 billion to the US’ GDP annually between 2017 and 2022, through direct, indirect and induced contributions. The California-based company also said that its data centre operation in Loudon County contributed about US$330 million in direct, indirect and induced contributions to labour income.

During the same time period, Google’s operations supported about 3,500 direct, indirect and induced jobs in Loudoun County, it said. The company invested US$1.8 billion in Loudon County for its data centre there in 2018 and 2019 and expanded that with an investment of US$1.2 billion in 2021.

In Malaysia, Google is investing US$2 billion in City of Elmina in Shah Alam, Selangor, for its first data centre and cloud region in Malaysia. The investment is expected to support 26,500 jobs and bring in an economic impact of RM15.04 billion.

Data centre investments have also been criticised for using up a lot of resources such as electricity and water, not to mention the land that they occupy.

On this, Gobind says the government has taken the challenges the country faces in respect of water and energy into account when it comes to promoting industries, including data centres. “The government is looking at ways and means by which we can ensure that we are able to sustain as we go ahead and there are sufficient reserves as well.”

Having said that, he believes that Malaysia does not have much of a choice when it comes to opening up for data centre investments.

“You either say yes, we can do this, and prepare the country with the right infrastructure and get it done — take the lead. Or you say no, we’re going to take a step back and let others move ahead and then perhaps when it’s a bit too late, look back and say, look, this is what we should have done,” he says.

“We have made a decision. We are going to make sure that we prepare our country for the future. And I think the prime minister is very clear on his vision for this and it is a work in progress.”

For Gobind, embracing data centre investments, apart from being an enabler for the development of the digital economy, is also about creating a “buzz” in attracting global investments.

“Now, if you don’t have that, for example, the rest, as I said, is not just about us. It’s about how we perform in Asean, how we attract global investments. If you don’t have all these, then you are not going to be able to create that buzz. That to me is crucial at this point for us to build the country economically,” he says. 

Source: The Edge Malaysia

Data centres crucial to draw investments

Japan continues to show deep interest in investing in Malaysia’s energy sector, especially in the green hydrogen sector, said Deputy Prime Minister Datuk Seri Fadillah Yusof.

Fadillah, who is also the Minister of Energy Transition and Water Transformation, said Japan has already invested in Sarawak in the same industry and that it would continue to support Malaysia in terms of investment.

In December last year, it was reported that Sarawak would be producing green hydrogen on a large scale mainly for the Japanese market under a tripartite agreement inked between the Sarawak Economic Development Corp (SEDC) and two Japanese firms. “They are asking for our support and cooperation for what they have to offer. We can’t give a final decision (at this meeting). I have to bring it back to get a decision at the government level,“ he said.

Fadillah said this to the media after attending a courtesy visit session with four countries, namely Singapore, Vietnam, Brunei and Japan, in conjunction with his visit to Peru to attend the Energy Ministers Meeting, under the Asia Pacific Economic Cooperation (APEC), from Aug 15-16, 2024.

He said the four countries were ready to support Malaysia’s plans.

“What’s more, next year we will be ASEAN chair. (So) the bilateral meeting we held on Thursday morning and afternoon was in that context. While at the round table session, each of the APEC countries gave their views on the topic that had been prepared, which was related to how we want to mobilise the strategies of the respective countries in relation to the energy transition, which is the supply of clean and renewable energy.

“And at the same time (in switching) to this renewable and clean energy, how we want to ensure the security of energy supply. Second, in terms of safety and third, also to ensure that no party is left behind”.

The meeting also discussed cooperation opportunities in the development of halal certification by Vietnam, the SME capacity development and investment by Singapore and the organisation of the 3rd Asia Zero Emission Community (AZEC) Ministerial Meeting by Malaysia in 2025.

Meanwhile, Fadillah also said the issue of implementing third party access (TPA) was also discussed at the meeting of energy ministers. “We will announce everything in September, in terms of the mechanism, in terms of the rules, including the costing. Many are interested in the TPA of the electricity supply industry. So we will have an industrial dialogue on Aug 22. From there we get feedback from industry players,“ he added.

The 14th APEC Energy Ministers’ Meeting (EMM14) at the Lima Convention Center, hosted by Peru, brings together energy ministers from across the Asia-Pacific region to discuss strategies to drive the energy transition.

Source: Bernama

Japan remains committed to invest in Malaysia’s green energy, focus on hydrogen

Malaysia is expected to attract new investments in the energy sector from Singapore and Vietnam, said Deputy Prime Minister Datuk Seri Fadillah Yusof.

Fadillah, who is also the Energy Transition and Water Transformation Minister, said the potential investments will be discussed in detail during courtesy calls with Singapore Senior Minister of State for the Ministry of Trade and Industry (MTI) and Ministry of Culture, Community and Youth Low Yen Ling, dan Vietnam Deputy Minister of Industry and Trade Nguyen Hoang Long later on Thursday.

“I think the minister from Singapore intends to discuss extending the (renewable energy import from Malaysia) agreement, as the expiry date is near,” he said.

The deputy minister said that Malaysia is prepared to export an additional 100 megawatts (MW) of power, in the event Singapore’s energy supply deal with Laos falls through.

“I will also discuss focusing on the Asean Power Grid initiative next year with the ministers (from Singapore and Vietnam),” he told the media on Thursday, during his visit to Peru for the two-day Energy Ministers’ Meeting (EMM) under the Asia-Pacific Economic Cooperation (Apec) from Aug 15-16. 

The Asean Power Grid is a regional initiative to improve energy connectivity among Asean member countries.

The grid focuses on integrating the electricity grids of various Asean nations to enhance energy security, promote efficient energy use, and support the development of a regional electricity market.

The goal is to facilitate cross-border electricity trade and ensure a more reliable and sustainable energy supply within the region.

Fadillah said the association’s countries can assist each other with power needs, in the spirit of the Asean community, . 

“This is one of the issues I intend to discuss with our Asean partners,” he said.

Meanwhile, Fadillah also discussed possible investments in Vietnam, which has abundant wind power resources.

He said that national oil company Petroliam Nasional Bhd (Petronas) and utility company Tenaga Nasional Bhd (KL:TENAGA) are keen to invest in Vietnam’s energy sector.

“I will discuss the possibility of an undersea (power) cable from Vietnam to Kota Bahru, Kelantan. This is not only for Malaysia, but the cable can be used to supply power to Singapore and other Asean countries,” he added.

Fadillah is scheduled for courtesy calls with the Brunei’s Minister at the Prime Minister’s Office and Minister of Defence II, Pehin Halbi; and Japan’s Parliamentary Vice-Minister of Economy, Trade and Industry Nobuhiro Yoshida.

He will also attend the minister’s lunch hosted by the Ministry of Energy and Mines of Peru.

Source: Bernama

Malaysia expects to attract energy sector investments from Singapore, Vietnam — Fadillah

New York-based hybrid cloud and artificial intelligence (AI) solutions provider International Business Machines Corporation (IBM) sees strong growth potential in Malaysia, pointing to a recent surge in technology investors and new data centres.

IBM Asean general manager Catherine Lian said the company is focused on strengthening its private partnership ecosystem while developing strategies to enhance the technology value chain in the country.

“It is interesting to see how the Malaysian government is prioritising the enhancement of the value chain in this country. We believe Malaysia is a hub of economic growth, and with the political stability, we are excited about what lies ahead in the coming year,“ Lian told Bernama following a media briefing on the sidelines of the IBM Think 2024 conference, here.

The conference explored how the future of AI is unlocking Asean’s economic potential.

Lian said IBM is particularly encouraged by the increasing number of data centres in Malaysia, which she described as evidence of “explosive growth” in the country’s technology sector.

“This really shows that the value chain of economic growth is evident. While we see a lot of investment across these technology portfolios, IBM is excited to be part of the journey to drive technology and the adoption of generative AI in these data centres.”

Lian highlighted the Malaysian government’s role in fostering economic growth and attracting foreign direct investment, noting that IBM is committed to aligning its technology solutions with these national initiatives.

Looking ahead, she said IBM will continue to advance hybrid cloud and AI solutions in partnership with its Malaysian clients.

“When we consider Malaysia’s outlook, the adoption of AI has already started across all industries. It is important that technology providers like IBM continue to drive hybrid cloud AI solutions to build the digital transformation journey with our customers and clients in Malaysia,” she added.

IBM offers global expertise in hybrid cloud, AI, and consulting, helping clients leverage data insights, streamline business processes, reduce costs and gain a competitive edge. Hybrid cloud combines public cloud, private cloud and on-premises infrastructure to create a unified, flexible and cost-efficient information technology environment. 

Source: Bernama

Malaysia’s growing tech sector spurs IBM’s expansion plans

The Digital Ministry is confident of securing more digital investments in the second half of this year after the impressive performance recorded in the first half (1H).

Minister Gobind Singh Deo said Malaysia’s total digital investment hit RM66.22 billion in 1H, surpassing the RM46.2 billion achieved for the whole of 2023, supported by the MADANI government’s business-friendly policies.

These investments came with the creation of 25,498 jobs in 1H 2024, surpassing the tally of 22,258 in 2023.

“Digital is an area that is growing significantly and is attracting a lot of attention. Moving forward, we are going to see a lot more emphasis being placed in this sector,” he told reporters after the signing of a memorandum of understanding between 42 Malaysia, a peer-to-peer computer science school established by Khazanah Nasional Bhd in a joint venture with Sunway Education Group, and MyDIGITAL Corporation.

Gobind said that to spur the sector and investment in digital, the Budget 2025 wishlist to be presented to the Finance Ministry will include tax exemptions.

“The question that was raised was how can the government develop policies around incentives that will actually motivate businesses to invest, so there are certain suggestions to be put forward focused on taxation.

“I think ultimately, it comes back to how fast we can get everyone on board because if you look at the numbers, the small and medium enterprises form 97 per cent of the industries of the country. If we are able to get them on board adopting technology in their businesses, you’re going to see tremendous growth in the country’s digital economy,” he noted.

He also emphasised the need for further government and industry partnerships to hasten the national digital agenda, among others on talent creation, to support the fast-growing industry.

Gobind said tech giants such as Google, AWS, Byte Dance, Nvidia and Microsoft have committed billions of ringgit into Malaysia’s digital sector and will need a lot of skilled workers to support their operations.

The minister said MyDIGITAL and 42 Malaysia will leverage skill sets from each other to develop digital talent in Malaysia.

The planned initiatives include joint research and development, cross-border training exchange programmes, collaborative workshops and training programmes, and executive digital leadership programmes.

Source: Bernama

Digital Ministry confident of securing more digital investments in 2H 2024

Johor’s status as Malaysia’s leading data centre (DC) hub is expected to strengthen further, bolstered by substantial foreign direct investment (FDI) in the services sector.

CIMB Securities Sdn Bhd (CIMB Securities) said Johor has cemented its position as an investment magnate as it topped the FDI charts and the state’s FDI flows are expected to re-accelerate in 2024, as a stable political climate ensures policy continuity following the conclusion of the six state elections in August 2023.

According to the research firm, the services sector accounted for about 70 per cent of the total FDI received by Johor last year, while the remaining 30 per cent came from the manufacturing sector. 

By sub-sectors, the Information Communication Technology (ICT) segment was a major contributor towards the services sector, involving DC’s, cloud sharing services, software and design systems, as well as creative and digital content. 

As for the manufacturing sector, it was mainly made up of electrical and electronics products (E&E) manufacturing, chemicals, and machinery and equipment.

“Due to its close proximity, Singapore is unsurprisingly one of the main sources of FDI for Johor. 

“Given Johor’s transformative landscape, this would accentuate the demand for specialist builders of advanced technology facilities (ATF)’s, including high-tech industrial buildings, integrated logistics centres, and DC’s,” CIMB Securities said in a research note.

The firm added that a step-up in infrastructure-building is needed to augment Johor’s huge investment drive, and the state’s constructive outlook has also been galvanised by closer bilateral ties between Malaysia and Singapore.

Furthermore, the twin completion of the Gemas-JB Electrified Double Tracking (2025) and RTS Link (December 2026) could herald the start of more infrastructure spending to improve connectivity within Johor, it said.

It also noted that a firmer ringgit provides more fiscal leeway for the government to carry out large-scale infrastructure projects, especially for those that require machinery or inputs that are imported in US dollars. 

“Therefore, to promote greater mobility, we firmly believe that the Madani administration may accelerate the rollout of large-scale public transportation projects to complement Johor’s robust growth prospects. 

“As such, the Johor ART (autonomous rail transit) and KL-Singapore HSR (high speed rail) are the next two standout projects that could come to the fore,” CIMB Securities added.

Given that Johor’s rapid industrial drive could put a strain on the state’s natural resources, the research firm expects a greater push towards an upgrade of its utility network and related infrastructure in the months to come.

Source: NST

Johor’s data centre hub to get a boost from rising FDIs, says CIMB Research

Malaysia needs to start thinking about mandating companies, both local and foreign, to contribute a portion of their revenue to support research and development (R&D) in Malaysian universities, said Deputy Minister of Investment, Trade and Industry Liew Chin Tong.

He recalled that during a visit to Brazil, he learned from Petroliam Nasional Bhd (Petronas) that Brazilian regulations require companies to contribute 1% of their revenue – not profit – to R&D in the country’s universities.

“And they (Petronas) contribute a lot of revenue (to R&D). (Therefore) whether it comes from Malaysian companies or whoever makes money out of Malaysia we have to start thinking about mandating some contributions by companies that make money in this country,” he said at the Unctad-KRI national consultation meeting on Green Industrialisation today.

Liew argued that Malaysia does not have a talent problem but the perceived talent shortage is actually a pay problem.

“Most of the time, university VCs are preoccupied by the idea that they have to train students. The national debate now is there’s a talent problem. If you pay two-thirds of Singapore pay, everyone will come back. But we are still preoccupied by this thinking that we have to train as many engineering students as possible,” he said.

“Additionally, when thinking about potential investors, we often compare ourselves to Vietnam, and investors often encourage this comparison. We are often told that Vietnam is doing this, doing that. To the extent that we continue to see ourselves just as a manufacturing base, we do not see ourselves as a location for R&D,” Liew said.

He added that as long as Malaysia continues to see itself merely as a manufacturing base, it fails to recognise its potential as a hub for R&D and high-end production.

Source: The Sun

Liew: Time to consider mandating companies to contribute to R&D in universities

The Energy Ministers’ Meeting (EMM) under the Asia-Pacific Economic Cooperation (Apec) is expected to discuss the direction, policies and cooperation for sustainable growth in the energy sector, particularly in energy transition and efforts to reduce Apec economics’ carbon footprint.

Deputy Prime Minister Datuk Seri Fadillah Yusof, who is also the Energy Transition and Water Transformation Minister, will lead Malaysia’s delegation to the Aug 15-16 EMM, according to a statement from the ministry on Monday.

Apec 2024 chair Peru is hosting the meeting, the highest level for Apec economic leaders responsible for energy development.

Fadillah will highlight Malaysia’s stance on implementing the country’s energy transition efforts, ensuring inclusive and equitable energy transition, and its aspirations towards achieving net zero greenhouse gas emissions by 2050.

This will be done via the implementation of the National Energy Transition Roadmap (NETR), Hydrogen Economy Roadmap (HETR), and the New Industrial Master Plan (NIMP) 2030, he said.

“This sharing and engagement on Malaysia’s progressive initiatives will likely provide a positive outlook on the country’s green investment potential to investors from the Asia-Pacific region.

“Besides promoting the nation’s sustainable growth efforts and commitments, Malaysia’s presence is expected to further strengthen the country’s image and position as a destination for clean and high-value investments,” the statement said.

Fadillah will also hold bilateral and multilateral meetings with counterparts from Apec economies and international industry players to expand cooperation networks in various energy fields, particularly those that support the country’s energy transition commitments and initiatives.

Source: Bernama

Malaysia to highlight green investment potential at Apec energy ministers’ meeting

The Employees Provident Fund (EPF) is currently seeking new investment opportunities in Sarawak’s renewable energy sector.

According to a Sarawak Public Communications Unit (Ukas) report, EPF chief executive officer Ahmad Zulqarnain Onn said Sarawak is now seen as a state with great potential, particularly in the renewable energy sector.

“The purpose of EPF’s visit here is to learn about Sarawak’s strategies, particularly regarding investment potential in the renewable energy sector, as well as understand the new strategies and policies in Sarawak,” he said after paying a courtesy call on Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg at Wisma Bapa Malaysia here today.

Ahmad Zulqarnain said Sarawak also has various new investment potential in hydro and solar energy.

“Sarawak, as a centre for renewable energy in Southeast Asia, is indeed very prominent in hydro, solar and floating solar energy.

“There is a lot of potential that will require significant investment. From our perspective, we want to reach out to explore how we can participate in new investments in Sarawak,” he explained.

Meanwhile, Abang Johari also received a courtesy call from Shanghai Electric Power, led by its director Wu Lei, and the International Finance Corporation.

Source: Borneo Post

EPF eyes investment opportunities in Sarawak’s renewable energy sector

With Malaysia’s data centre industry projected to reach RM3.6bil in revenue by 2025, it’s more important than ever to prepare local industry players for the expected growth, says Teo Nie Ching.

Speaking at the Cloudtech & Data Centre 2024 Conference on Wednesday (Aug 7), the Deputy Communications Minister said strategically placing data centres in the country would accelerate the industry’s growth.

“This is due to low latency being essential for a seamless experience, especially for applications like autonomous vehicles and complex remote operations that these data centres should support.

“Even the slightest delays can have significant consequences,” she said in her speech during the conference, held at the Pullman Kuala Lumpur City Centre on Thursday (Aug 8).

Teo highlighted recent industry news suggesting a positive future for Malaysia’s aspirations to become a regional data centre hub.

“RM76bil worth of data centre-related investments have been approved by the Investment, Trade and Industry Ministry via the Malaysian Investment Development Authority from 2021 to March 2024.

“From this, we see that more industry players are investing in the digital economy, and a lot of existing data centre operators here are expanding their operations,” she told reporters after the conference.

“This is an opportunity to create more high-value jobs for Malaysians and, at the same time, to ensure our place as a digital economy leader in Asean,” she added.

Meanwhile, Shawn Suresh, an IT infrastructure chief technology officer at Basis Bay, a home-grown leading data centre and IT infrastructure provider, said the event was needed to build confidence in the industry.

“With the industry growing extremely fast, there is now a lot of misinformation and a lack of overall industry expertise.

“Conferences like this are key to inform and prepare the public and industry players for the future of the industry,” said Shawn Suresh

Shawn also called for the legislation of foreign data centre providers to protect local industry players.

“Many of them are from competing economies and countries, so we need new laws to manage not only data centres but also the flow of data out of the country; otherwise, we may run into issues in the long run,” he added.

Teoh Wooi Keat, sales director at Vertiv Malaysia, a world-leading critical digital infrastructure provider, emphasises the need for responsible and optimal resource usage in data centres.

“With modern data centres expected to be more advanced through integration of AI, energy consumption will increase accordingly.

“We must learn how to maximise economic benefit with optimal carbon footprint through sustainable data centre design.

“Through conferences like this, industry players will also learn what to expect in the next decade through exchanging information, allowing us to move forward as both an industry and a country,” he said.

Organised by the Star Media Group Bhd (SMG), the Cloudtech & Data Centre 2024 Conference gathered over 100 leading IT professionals, industry leaders and policymakers from across the region who sparked discussions on the future of the data centre industry.

SMG group chief executive officer Chan Seng Fatt and SMG chief business officer Lydia Wang joined Teo on stage to present her a token of appreciation after she gave her speech during the event.

The event was held thanks to silver sponsors Vertiv and Basis Bay.

Source: NST

Malaysia’s data centre industry poised for remarkable growth, says Teo Nie Ching

Malaysia’s target to achieve a revenue of RM3.6 billion by 2025 in the data centre industry is on track, judging from the positive signals by the industry players.

Deputy Communications Minister Teo Nie Ching said this after a slew of investments involving the development of data centres entered the entry, coupled with expanding operations by existing companies.

“We can see that more people (from the data centre industry) are coming in for this digital economy investment and a lot of data centre (players) who are already here are also expanding their operations.

“Some of them have met me, like GDS IDC Services (M) Sdn Bhd, and they said they are going double their investment in Malaysia. Therefore, I believe that we are now on the right track, with the positive factors and the signals that we are receiving,” she told reporters after attending the CloudTech and Data Centre Conference 2024 here today.

It was previously reported that Malaysia aims to achieve a revenue of RM3.6 billion in the data centre industry by 2025 against RM2.09 billion in 2022.

Teo said creating an ecosystem for data centres and cloud services would also mean increasing the number of industry suppliers in the country as well.

“When we have a sufficient number of data centre players in Malaysia, which we are having now, their suppliers would also be interested in coming to Malaysia as well.

“This is an opportunity to create more high-value jobs for Malaysians, and at the same time, to ensure that Malaysia will become the leader in the digital economy in ASEAN,” she added.

Earlier, in her keynote address, Teo said Malaysia approved RM114.7 billion worth of investments in data centres and cloud services from 2021 to 2023, creating over 2,325 high-value job opportunities in specialised fields.

Furthermore, RM76 billion worth of data centre-related investments were approved by the Investment, Trade and Industry Ministry via the Malaysian Investment Development Authority from 2021 to March 2024.

“Google, Amazon Web Services, ByteDance Systems, Bridge Data Centres, GDS ICD and Malaysia’s YTL Data Centre made significant investments in building data centres in Malaysia, further demonstrating their confidence in our potential,” she said.

Source: Bernama

Malaysia on track to achieve RM3.6 bil revenue in data centre industry by 2025 – Teo

Cyberjaya has been identified as the next location for the expansion of the Malaysia Semiconductor IC Design Park, said Selangor Information Technology and Digital Economy Corporation (Sidec) chief executive officer Yong Kai Ping.

“I’m happy to announce that we are currently exploring our ‘Park 2 @ Cyberjaya’. We hope that Cyberview will give us an advanced unit with a good ecosystem that will be able to house more engineers over here. That is our plan,” said Yong.

The newly-launched IC design park is located in Puchong.

According to Selangor Menteri Besar Datuk Seri Amirudin Shari, Puchong was chosen due to its proximity to the Greater Klang Valley and its connectivity to KL International Airport, the soon-to-be-expanded Subang Airport, and its location about 30 minutes from Port Klang.

Consistent and reliable power, potential for future expansion, and ease of public transport accessibility were key factors in selecting Puchong.

For nearly three decades, Putrajaya has attempted to position Cyberjaya in Selangor as its own “Silicon Valley” as part of the Multimedia Super Corridor (MSC) special economic zone and business district.

In April, during the KL20 Summit, Economic Minister Rafizi Ramli announced that the government would establish a new Startup Hub in the heart of the capital, around KL Sentral and Bangsar South.

The hub is part of the Innovation Belt, which aims to gather ecosystem players in geographical clusters, creating a critical mass of startups, talent, investors, corporations, and academia.

Startup founders located around KL Sentral and Bangsar South previously told Malay Mail that public transport accessibility and proximity to the KL city centre are why the area is best suited for their businesses instead of Cyberjaya.

“We hope to achieve what our prime minister has set up in the National Semiconductor Strategy, Malaysia wants to build 10 unicorn IC companies, I believe we can contribute 50 per cent of that from our IC design park,” Yong said.

Source: Malay Mail

Sidec CEO: Cyberjaya identified as the next location for IC design park

The government will announce guidelines for data centre power usage effectiveness (PUE) and water usage effectiveness (WUE) by the third quarter of the year to boost investments.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said the guidelines would ensure data centres built in Malaysia meet the minimum sustainability requirements to achieve net-zero emissions by 2050.

“As data centres consume a lot of power and water, we want to ensure that the data centres built here (in Malaysia) meet the minimum requirements set by global institutions.

“SIRIM and the Department of Standards Malaysia are in the midst of finalising (the guidelines), and we will announce them by the third quarter this year,” he told reporters after the groundbreaking ceremony for Vantage Data Centers’ second campus (KUL2) here today.

Tengku Zafrul said the Ministry of Investment, Trade and Industry Ministry (MITI) will work closely with the Digital Ministry and Malaysia Digital Economy Corporation (MDEC) to incorporate the improvements into the data centre ecosystem.

Meanwhile, Digital Minister Gobind Singh Deo, who was also present at the groundbreaking ceremony, said the two main challenges for data centre investments are power and water.

He said that the guidelines being developed will ensure that the country has a sufficient and sustainable supply of both resources for the next five to ten years to attract more investments.

Gobind said the Digital Ministry and MITI are working together to address concerns about sufficient water and electricity supply due to significant demand from industry players.

“We need to push ahead to ensure we can develop Malaysia as the hub for data centres in this region, particularly as we move towards the country’s ASEAN 2025 chairmanship.

“We want to project Malaysia as a country with clear policies that are attractive not just to data centres but all investments in that ecosystem as well,” he said.

Vantage’s KUL2 is located adjacent to its existing campus in Cyberjaya. It will have 10 facilities across 256,000 square metres.

The US$3 billion KUL2 data centre campus will deliver 256MW of information technology (IT) capacity to meet the growing demand for hyperscale data centre services.

Source: Bernama

Guidelines to help boost data centre investments by 3Q – Tengku Zafrul