According to Teo Nie Ching, the Deputy Minister of Communications and Digital, Malaysia wants to establish itself as the next big data hub and become known as the “Asian Digital Tiger.”
According to Teo, Malaysia has the potential to emerge as the next major data hub in Southeast Asia, and its successes in the global data center market have set the groundwork for this to happen.
“Malaysia is fast becoming a regional data center hub and an appealing investment destination due to increased digital infrastructure expenditures, including cable landing stations, more underwater cables, 5G, and improved fiber connectivity.
“I’m optimistic [that] Malaysia can be the ‘Asian Digital Tiger’ with substantial investments, and collaborations with esteemed organisations like Infinaxis position us as the next big data hub,” Teo said during the groundbreaking ceremony of Infinaxis Data Centre in Cyberjaya on 25 October.
The Infinaxis Data Centre will finish in the second quarter of 2025. It will have a gross floor area of more than 17,000 square meters, 10 data halls, and the capacity to support a 12-megawatt information technology (IT) load with up to 80 kilowatts of power density per rack.
The facility is suitable for cloud providers, hyperscalers, AI services, and larger organizations, and it will support Malaysia’s growing focus on digitalization.
The data center market in Malaysia expected to develop at a compound annual growth rate (CAGR) of over 7% between 2022 and 2027, reaching a value of over US$2 billion by the end of the forecast period, according to Infinaxis.
The country’s growing need for data centers, resulting from growing internet usage and the massive amount of data produced by numerous industries, will fuel the rise.
Zahri Mirza, the CEO of Infinaxis, announced that the business acquired the adjacent property as an expansion facility in addition to securing pre-leased tenants for this data center.
“We are beginning our journey here today in Cyberjaya, with the first steps towards our inaugural data centre. This marks the beginning of our journey to spearhead innovation, sustainability and expansion in the region, to cater to the demands of customers. This world-class facility will surely be vital in Malaysia’s own digital economy goals,” he said.
Notably, the Ministry of Communications and Digital earlier this year granted Malaysia Digital status to many enterprises, including Infinaxis, as part of the Data Center and Cloud Industry cluster. Subject to specific requirements, Malaysia Digital Status enterprises granted various benefits, entitlements, and advantages.