American technology firm Microsoft announced Wednesday the general availability of Malaysia West, its first cloud region in the country, marking a significant milestone in the company’s commitment to empowering Malaysia’s inclusive digital and artificial intelligence (AI) transformation.
The firm said in a statement that Malaysia West cloud region, strategically located in Greater Kuala Lumpur, will be an AI-ready hyperscale cloud infrastructure with three availability zones.
It will offer Malaysian organizations access to scalable, available, and resilient cloud services coupled with in-country data residency, high levels of security, and lower latency.
The cloud region will also provide customers with access to the most modern services for productivity, data analytics, cybersecurity, computing, and storage.
This includes services such as Microsoft Azure and Microsoft 365, as well as Microsoft’s stack of business applications that will be available soon.
“With this cloud region, we can leverage the latest digital and AI technologies to move up the value chain, and the government has set the stage, developing a world-class, trusted digital environment for businesses to thrive, aligned with Microsoft’s trusted cloud principles,
“Together, let us seize this opportunity to surge ahead and solidify Malaysia’s position as a regional leader in the digital and AI economy,” said Gobind Singh Deo, Malaysia’s Minister of Digital.
Scott Guthrie, Executive Vice President, Cloud + AI, Microsoft, said the firm is committed to being Malaysia’s partner in its AI transformation.
“The Malaysia West cloud region will deliver world-class AI datacenter infrastructure and enable organizations to accelerate their innovation more securely – creating a future that is inclusive, sustainable, and AI-ready,” he added.
It is noted that a diverse group of organizations, enterprises, and startups are already leveraging the Malaysia West cloud region.
Petronas, Malaysia’s global energy and solutions provider will serve as the key partner in Malaysia West.
By leveraging Microsoft’s trusted hyperscale cloud infrastructure, Petronas is geared to continue advancing its digital and AI transformation efforts.
This collaboration reflects a strong alignment between both organizations in supporting national priorities, fostering innovation ecosystems, advancing data sovereignty, and building a resilient digital economy.
Other customers using Microsoft’s new cloud region include FinHero, SCICOM Berhad, Senang, SIRIM Berhad, TNG Digital (the operator of TNG eWallet), and Veeam, along with more organizations expected to come onboard as demand for secure, scalable, and locally-hosted cloud services continues to grow across industries.
It is noted that the IDC projects broad economic and social benefits to be unlocked from the new Malaysia West cloud region.
Over the next four years, Microsoft, its partners, and its cloud-using customers are projected to jointly generate $10.9 billion1 in new revenues, with the new cloud region accounting for approximately 16.9 percent of this new revenue total through 2028.
In the same time frame, Microsoft, together with its partners and customers will add over 37,000 direct and indirect jobs. Out of these, nearly 6,000 are skilled information technology (IT) jobs.
Microsoft also on Wednesday unveiled BINA AI Malaysia, an initiative to help drive the next phase of Malaysia’s AI transformation.
Rooted in Microsoft’s vision to build the nation’s AI future, BINA AI Malaysia reflects Microsoft’s commitment to nation-building by not only providing infrastructure and trusted technological solutions, but also in partnering with stakeholders across industries to drive AI adoption and developing AI-ready talent.
A key effort under this initiative includes progressing the establishment of the Microsoft National AI Innovation Center with the goal of advancing national AI strategies, fostering collaborations to accelerate AI adoption, and solving societal challenges through AI-powered solutions.
To bring this initiative to life, Microsoft is exploring a collaboration with EY in Malaysia, Malaysia’s National AI Office (NAIO) under the Ministry of Digital, and Petronas Leadership Center to set up the Center that will serve as a strategic hub for developing real-world solutions, nurture future-ready talent, and showcase the nation’s AI capabilities.
The Center builds on Microsoft’s earlier announcement in 2024 to invest $2.2 billion to fuel Malaysia’s cloud and AI ambitions.
Microsoft said the firm remains committed to supporting a robust talent pipeline for Malaysia’s AI economy.
Working closely with NAIO, Microsoft introduced the AI for Malaysia’s Future (AIForMYFuture) initiative in December 2024, which aims to equip 800,000 Malaysians with AI-related skills by the end of 2025.
To date, Microsoft announced it has successfully skilled 400,000 people across the government, large and small-medium corporations, startups, education institutions, underserved communities, as well as the general workforce.
“With Microsoft’s new Malaysia West Cloud Region now on local soil, we are thrilled about the vast opportunities this will bring for our customers across the enterprise, public sector, and startups to become faster, more agile, and more innovative than ever,
“Beyond infrastructure, we are committed to delivering digital and AI skills to every Malaysian through the AIForMYFuture initiative, supporting the nation’s vision of becoming a regional digital leader,” said Laurence Si, Managing Director, Microsoft Malaysia.
To achieve its ambitious target, Microsoft said the firm is also partnering with a wide array of stakeholders, including Biji-biji Initiative, International Women’s Federation of Commerce and Industry Malaysia (IWFCIM), iTrain, PEOPLElogy, Pepper Labs, the National TVET Council (MTVET) Secretariat, and Talent Corporation Malaysia Berhad (TalentCorp).