Economist: Google's US$2bil investment set to elevate Malaysia's appeal as data centre hub in region

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KUALA LUMPUR: The latest significant investment of US$2 billion by technology giant Google in Malaysia will elevate the country's appeal as a data centre hub in the region, said an analyst.

"Google's entry is expected to significantly enhance Malaysia's appeal as a preferred destination for data centres. Malaysia offers extensive land, sustainable energy supply and a skilled workforce, creating an ideal ecosystem for companies looking to establish data centres," he told Bernama. "This development will positively impact various industries including real estate and generate demand for power cables, substations, mechanical and engineering procurement, ventilation and air conditioning systems,” he added.

Meanwhile, the dean of Universiti Teknologi Malaysia’s Faculty of Artificial Intelligence , associate professor Dr Mohd Naz'ri Mahrin, said Google's investment in Malaysia is poised to significantly enhance the country's AI capabilities, driving both innovation and economic growth.

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