Data Centre & Cloud

Malaysia Digital Hub of ASEAN

Data Centre & Cloud

Malaysia Digital Hub of ASEAN

Data Centre & Cloud

Malaysia Digital Hub of ASEAN

Data Centre & Cloud Market Landscape

Malaysia is ranked 22nd globally (2nd in ASEAN, 8th in APAC) in the Arcadis Data Centre Location Index 2021.

4
Malaysia’s continued push for cloud first strategy is integral in driving the development & adoption of digital infrastructure, which includes data centres, edge and cloud.
5
Kuala Lumpur emerged as one of the Top Markets Offering Incentives in Cushman & Wakefield’s Global Data Centre Market Comparison 2022.
1
Global cloud service providers such as AWS, Microsoft, Alibaba, Tencent, IBM, Oracle, and Google continue to expand with new cloud regions in the Southeast Asia data centre market.
2
The increasing investments in hyper-scale data centres by global vendors is driving the growth of the regional market.
3
The rise in 5G network connectivity and submarine cables deployment, the increasing applications of IoT, the emergence & adoption of advanced IT workloads and sustainable initiatives by data centre investors are driving Data Centre & Cloud growth in the region.
4
Malaysia’s continued push for cloud first strategy is integral in driving the development & adoption of digital infrastructure, which includes data centres, edge and cloud.
5
Kuala Lumpur emerged as one of the Top Markets Offering Incentives in Cushman & Wakefield’s Global Data Centre Market Comparison 2022.
1
Global cloud service providers such as AWS, Microsoft, Alibaba, Tencent, IBM, Oracle, and Google continue to expand with new cloud regions in the Southeast Asia data centre market.
2
The increasing investments in hyper-scale data centres by global vendors is driving the growth of the regional market.
3
The rise in 5G network connectivity and submarine cables deployment, the increasing applications of IoT, the emergence & adoption of advanced IT workloads and sustainable initiatives by data centre investors are driving Data Centre & Cloud growth in the region.

5
Kuala Lumpur emerged as one of the Top Markets Offering Incentives in Cushman & Wakefield’s Global Data Centre Market Comparison 2022.
1
Global cloud service providers such as AWS, Microsoft, Alibaba, Tencent, IBM, Oracle, and Google continue to expand with new cloud regions in the Southeast Asia data centre market.
2
The increasing investments in hyper-scale data centres by global vendors is driving the growth of the regional market.
3
The rise in 5G network connectivity and submarine cables deployment, the increasing applications of IoT, the emergence & adoption of advanced IT workloads and sustainable initiatives by data centre investors are driving Data Centre & Cloud growth in the region.
4
Malaysia’s continued push for cloud first strategy is integral in driving the development & adoption of digital infrastructure, which includes data centres, edge and cloud.
5
Kuala Lumpur emerged as one of the Top Markets Offering Incentives in Cushman & Wakefield’s Global Data Centre Market Comparison 2022.
1
Global cloud service providers such as AWS, Microsoft, Alibaba, Tencent, IBM, Oracle, and Google continue to expand with new cloud regions in the Southeast Asia data centre market.

Key Statistics for

Data Centre & Cloud in ASEAN

USD 12.60 bil

South East Asia’s forecasted Data Cloud market size by 2025 with CAGR of 13%

USD 8.90 bil

Hyperscale Cloud Revenue in South East Asia in 2021

>25

Number of Data Cloud facilities & expansion projects in SEA in 2021

Source: Technavio, Arizton, IDC, Cushman & Wakefield, MyDIGITAL

Key Statistics for

Data Centre & Cloud in Malaysia

18.7%

CAGR (2020-2025) Public Cloud Market growth in Malaysia, largely driven by Manufacturing, BFSI, Resource & Utilities and Telecommunications & Media industries

7-5 cents/kWh

Power Cost in Malaysia (High Voltage Commercial Tariff, peak, off-peak)

80%

Malaysia Digital Economy Blueprint (MyDIGITAL) target for usage of cloud storage across the government in 2022

Source: Technavio, Arizton, IDC, Cushman & Wakefield, MyDIGITAL

Malaysia’s Ingredients For Success

Criteria to support Data Centre & Cloud Ecosystem

Connectivity

Domestic & international: competitive, reliable, extensive capacity and diversity, dark fibre availability & fast restoration

Ease & Cost of Doing Business

Business environment, processes, compliance risks & costs & regulatory encumbrances

Progressive Data Governance

Principles of Privacy, Data Protection, Law Enforcement & Cross Border Data Flow

Energy

Largest cost component for DC OPEX: high reliability, competitive tariffs and Renewable Sources

Land & Utilities

Enables efficient building designs & long-term planning for expansion

Incentives

Financial and non-financial incentives in line with the future digital economy ecosystem

Demand Factors

Strong and growing market demand & Government adoption

Geographic Risk

Low incidence of natural disasters and other natural risk factors

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What is it like to run a business in Malaysia? How to benefit from the solutions and the efficiency of our business culture? What are the opportunities in specific sectors? Who to partner up with?

Need more information?

What is it like to run a business in Malaysia? How to benefit from the solutions and the efficiency of our business culture? What are the opportunities in specific sectors? Who to partner up with?

Frequently Asked Questions