Japan’s SoftBank Group, Singapore-based Grab Holdings, and Malaysia’s Petroleum Sarawak Berhad (PETROS) will jointly build AI infrastructure in Malaysia, backed by $1.85 billion in initial combined seed capital.

In a statement on Monday, Grab said the sides have signed joint development agreements for the move. The facilities, once fully operational, can become among the largest AI infrastructure of its kind in Asia. The seed capital includes $1 billion from SoftBank Group, $750 million from Grab, and US$100 million from PETROS.

The investment spans two projects. The Sarawak project has an initial investment of $1 billion, comprising $800 million from SoftBank, $100 million from Grab, and $100 million from PETROS. Grab has an option to increase its stake in that project, which would reduce SoftBank’s stake while leaving SoftBank as majority shareholder.

The Peninsular Malaysia project has initial seed capital of $850 million, comprising $650 million from Grab and $200 million from SoftBank. Grab will lead development of that project and bring in long-term strategic investors as it scales.

The parties plan to develop AI compute capacity across both regions, with a long-term target of five GW or more. They also plan to seek additional investors and hyperscale customers.

Masayoshi Son, chairman and CEO of SoftBank Group, said AI infrastructure will power the next wave of growth and Malaysia has the talent and ambition to lead it.

Anthony Tan, co-founder, chairman, and CEO of Grab, said the infrastructure would be built in Malaysia, where Grab began, to serve Southeast Asia, localised AI solutions, and high-value jobs.

The projects are aligned with Malaysia’s National AI Action Plan 2026–2030 (AI Nation 2030). The facilities will operate under Malaysia’s renewable energy guidelines and are designed for high efficiency, lower water use, and less reliance on the local power grid.

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