Microsoft is set to launch its first cloud region in Malaysia by mid-2025, featuring three data centers in the greater Kuala Lumpur area, the company announced on Thursday. This initiative follows a $2.2 billion investment revealed last year, aimed at enhancing Malaysia’s cloud and artificial intelligence (AI) capabilities.
The new Malaysia West cloud region is expected to be operational by the second quarter of 2025, according to Laurence Si, Managing Director of Microsoft Malaysia. However, Microsoft has not disclosed the capacity of these data centers.
Regarding potential challenges due to U.S. export restrictions on semiconductor chips, Si stated that Microsoft was monitoring the situation but had not encountered any issues so far. “Everything is status quo for us,” he noted, emphasizing that Microsoft’s investment plans remain on track with support from various stakeholders.
Microsoft estimates that its commitments in Malaysia over the next four years will generate $10.9 billion in revenue and create over 37,000 jobs. The initiative is expected to accelerate innovation, enhance cybersecurity, and strengthen Malaysia’s position as a cloud and AI hub in Southeast Asia.