Oracle is set to invest more than $6.5 billion in developing artificial intelligence (AI) and cloud computing infrastructure in Malaysia.
The company revealed this week that it plans to open a cloud region in the country from which it will be offering more than 150 infrastructure and cloud services, including Oracle's AI offerings.
Customers in Malaysia will have access to Oracle Cloud Infrastructure (OCI) generative AI agents, as well as OCI Supercluster - Oracle's AI supercomputer in the cloud that has up to 131,072 Nvidia Blackwell GPUs with Nvidia ConnectX-7 NICs for RoCEv2 networking or Nvidia GB200 NVL72 rack solutions using liquid cooling and Nvidia Quantum-2 InfiniBand networking.
"We warmly welcome Oracle's $6.5 billion investment in Malaysia, which represents yet another expansion of their 36-year footprint in Malaysia," said YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, minister of investment, trade and industry (MITI), Malaysia.
"This investment will empower Malaysian entities, especially small and medium-sized enterprises, with innovative and cutting-edge AI and cloud technologies to enhance their global competitiveness. It is also a significant step towards realizing the country's New Industrial Master Plan's ambitious vision of creating 3,000 smart factories by 2030."
“Malaysia offers unique growth opportunities for organizations looking to accelerate their expansion with the latest digital technologies,” added Garrett Ilg, executive vice president and general manager, Japan and Asia Pacific, Oracle. “Our multi-billion dollar investment affirms our commitment to Malaysia as a regional gateway for cloud infrastructure as well as a comprehensive suite of SaaS applications deployed within Malaysia.”
The planned location for the cloud region has not yet been shared, the much of Malaysia's data center market is split between Johor and Kuala Lumpur.
In August 2024, Advanced Info Service announced plans to launch a cloud service using Oracle Alloy, to be known as AIS Cloud. This year, two major Malaysian companies - IHH Healthcare and Great Eastern - have migrated to OCI.
Malaysia has become a major data center market in the Asia Pacific since neighbouring Singapore established a moratorium on data center developments. Though Singapore is starting to ease restrictions around its ongoing moratorium on new data center developments, Malaysia is continuing to see developments overspill from the neighboring city-state.
At the start of October 2024, Google broke ground on a data center in Kuala Lumpur, Malaysia, shortly after announcing a partnership with DNeX to offer sovereign cloud services in the country.
Amazon launched a Malaysian cloud region in August. Microsoft announced plans for a Malaysian Azure region in Kuala Lumpur in April 2021. This is still yet to open.