Google has on Tuesday launched its first data center and cloud region in Malaysia.

With construction underway in Elmina Business Park, Selangor, the $2 billion investment in its data center and cloud infrastructure will help meet growing demand for Google Cloud capabilities and AI innovations, and other digital products and services in Malaysia, the firm said in a statement.

According to the firm, these investments are estimated to support more than $3.2 billion in positive economic impact and create 26,500 jobs by 2030.

Google has also announced a series of local digital skilling and sustainability partnerships that build on the strategic collaboration it established with the Government of Malaysia.

“We laud Google’s swiftness in establishing its data center and cloud region in Malaysia,

“These state-of-the-art facilities will not only empower our manufacturing and service-based industries—particularly the small and medium businesses (SMBs)—to leverage advanced technologies like AI and cloud computing, but also enhance our industries’ capacity to move up the global value chain,” said Zafrul Aziz, Malaysia’s Minister of Investment, Trade, and Industry.

In line with Malaysia’s net-zero goals, he also welcomed Google’s leadership in energy-efficient operations, which will undoubtedly set new national benchmarks in power and water usage effectiveness.

“But above all, this journey is about our people. It is crucial for Malaysians to be equipped with the skills required for the jobs of the future, particularly as more hi-tech and AI-focused investments flow into the country, and as we grow Malaysia’s capacity to serve the region’s digital economy,

“Google’s continued commitment to upskilling our workforce through programs like Gemilang and Future Skills for All will also ensure a more inclusive digital future for Malaysia’s workforce,” he added.

Ruth Porat, President and Chief Investment Officer of Alphabet and Google, said Google reaffirmed its support for advancing Malaysia’s digital future with the ground breaking of its data center and cloud region in Selangor today.

“Google’s investments in infrastructure, digital skilling, and sustainability represent progress on our joint efforts with the Government of Malaysia to create high-value jobs and bring the benefits of AI to local communities and companies,

“Together, we will empower individuals and businesses in Malaysia to innovate, grow, and fully harness the potential of the digital age,” he said.

He also said Google will continue its responsible stewardship of natural resources by improving community watershed health and ecosystems in Malaysia and helping to drive local adoption of renewable energy sources.

According to the statement, Google’s cloud and data center infrastructure in Malaysia will help meet growing demand for Google Cloud capabilities and AI innovations, and the company’s digital services—such as Search, Maps, and Google Workspace.

The ground breaking follows Google Cloud’s 2022 announcement of plans to launch a local cloud region to make it easier and faster for public sector organizations, SMBs, startups, and large enterprises to benefit from Google Cloud’s on-demand compute and AI and machine learning (ML) resources.

The cloud region will deliver high-performance and low-latency services and offer customers key controls that allow them to maintain the highest security, data residency, and compliance standards, including specific data storage requirements.

Google Cloud has also on Monday announced its partnership with Malaysian technology firm Dagang NeXchange Berhad (DNeX) to offer next-generation sovereign cloud solutions in Malaysia, tailored to meet the digital sovereignty requirements of organizations in regulated industries, such as public services, healthcare, and energy.

As part of its climate-conscious approach to data center cooling, Google’s facility in Malaysia will use water-cooling technology, in line with Google’s data-driven water risk framework.

This technology uses about 10 percent less energy compared to air-cooled facilities, resulting in 10% less carbon emissions.

In line with its commitment to water stewardship and keeping watersheds healthy and thriving in communities where it operates data centers, Google will collaborate with the Global Environment Centre (GEC) and the Petaling Jaya City Council (MBPJ) to restore Taman Aman Lake in Selangor and enhance the environment around it.

Google also announced that it is expanding its Solar API service to Malaysia.

This service, which utilizes AI and satellite imagery to accelerate the design and installation of rooftop solar energy solutions, will empower Malaysia to expand solar adoption and stimulate the creation of high-value jobs in the renewable energy sector.

Google also announced a collaboration with UNICEF Malaysia, CelcomDigi, Malaysia Digital Economy Corporation (MDEC), and Arus Academy to bring Future Skills for All to Selangor, with the support of the Ministry of Education (MOE).

This is aimed at reducing inequalities and providing opportunities by enabling future-skills learning for all, particularly children from diverse demographics.

The program will train 260 teachers who will subsequently coach up to 61,000 students in Selangor.

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