Microsoft reaffirms commitment to M'sia amid global data centre pullbacks

Free Malaysia Today

15-06-2025

As of May, more than 400,000 Malaysians have received AI training under the initiative under Microsoft's AI for Malaysia's Future (AIForMYFuture) initiative, according to the tech giant. (AFP pic)
PETALING JAYA : Microsoft has reaffirmed its commitment to a RM10.5 billion investment in cloud and artificial intelligence (AI) infrastructure in Malaysia, including the development of hyperscale data centres in the Klang Valley.
A spokesperson for Microsoft Malaysia told FMT the tech giant is closely monitoring the ongoing uncertainty following US President Donald Trump's announcement of sweeping tariffs in April, which unsettled stock and currency markets before a 90-day pause was declared a week later.
'Microsoft remains committed to our investment in Malaysia to accelerate the nation's AI and cloud adoption. As a company, the tariff is something we are watching, but we don't have anything to share right now,' it said.
Citing people familiar with the situation, Bloomberg reported in April that Microsoft had either halted talks for, or delayed the development of, data centre projects in Indonesia, the UK and Australia, as well as Illinois, North Dakota and Wisconsin in the US.
Microsoft acknowledged making changes to its data centre plans at the time, saying the move reflected the flexibility of the company's strategy and aligned with its goal of ensuring it has 'sufficient infrastructure in the right places'.
Last month, Microsoft announced the general availability of the Malaysia West cloud region in Greater Kuala Lumpur comprising three availability zones aimed at offering low-latency connections and a highly resilient infrastructure, including Azure and Microsoft 365.
Additionally, Microsoft Malaysia managing director Laurence Si previously said the company is also investing in talent development through its 'AI for Malaysia's Future' (AIForMYFuture) initiative, which aims to equip 800,000 Malaysians with AI skills by the end of 2025.
In an interview with FMT, Microsoft Malaysia's legal and government affairs director Adilah Junid revealed that, as of May, more than 400,000 Malaysians have received AI training under the initiative.
She also encouraged participation in the free AIForMYFuture initiative via Microsoft's AI Skills Navigator website, and the monthly Microsoft AI Teach programmes held nationwide at local educational institutions and National Information Dissemination Centres.
'Microsoft relies heavily on local partners such as Biji-Biji, HRD Corp, Perkeso, Pepper Labs, and the International Women's Federation of Commerce and Industry Malaysia.
'They are really the ones to have networks within the community and society, enabling us to make this opportunity as widely accessible as possible,' said Adilah.
Addressing concerns about sustainability, particularly the high water usage of data centres for cooling, she said Microsoft is constantly exploring innovative solutions to operate more sustainably.
'We were part of the consultations with the digital ministry's guidelines for sustainable data centres. We also work with authorities to ensure that our water and energy usage metrics are aligned,' said Adilah.