KUALA LUMPUR: Microsoft is set to reshape Malaysia’s digital economy with the launch of its first-ever hyperscale cloud region, Malaysia West. Located in Greater Kuala Lumpur and slated to go live in Q2 2025, the new cloud infrastructure marks a pivotal step in the company’s long-term commitment to advancing the nation’s cloud and AI capabilities.
According to the IDC “Microsoft Cloud Dividend Snapshot” report, Microsoft, alongside its partners and cloud-enabled businesses, is projected to generate $10.9 billion in new revenues and create 37,575 new jobs in Malaysia by 2028. Among these, 5,700 will be skilled IT positions, strengthening Malaysia’s digital workforce and positioning the country as a regional hub for AI and cloud innovation.
A Milestone in Microsoft’s 33-Year Journey in Malaysia
As a trusted technology partner in Malaysia for over three decades, Microsoft continues to fuel the country’s transition toward a digital-first economy. Once operational, the Malaysia West cloud region will offer businesses access to Microsoft’s full suite of cloud solutions, enabling them to scale operations, enhance efficiency, and build digital resilience.
Critically, the cloud region will also ensure compliance with Malaysia’s data residency regulations, allowing organizations to store and manage data securely within the country while adhering to government standards.
Investing in Talent and AI-Readiness
Microsoft’s commitment extends beyond infrastructure. In May 2024, Chairman and CEO Satya Nadella announced a $2.2 billion investment to accelerate Malaysia’s cloud and AI ambitions. A key pillar of this effort is the AI for Malaysia’s Future (AIForMYFuture) initiative, launched in December 2024, which aims to equip 800,000 Malaysians with AI skills by the end of 2025. This builds upon the Bersama Malaysia initiative, which has already provided digital skills training to over 1.53 million Malaysians.
Empowering Malaysia’s Digital Future
Laurence Si, Managing Director of Microsoft Malaysia, emphasized the transformative impact of the new cloud region:
“The Malaysia West cloud region is more than just infrastructure—it’s a catalyst for innovation, enabling businesses to harness AI and cloud technology at scale. With this investment, Malaysia is poised to become a leading hub for cloud and AI growth in Southeast Asia.”
Dr. Andrew Lau, Director of Strategic Programs for Microsoft Malaysia, echoed this sentiment:
“As Malaysia advances its AI and cloud ecosystem, the new cloud region will empower businesses to expand seamlessly while providing global enterprises with a strategic entry point into the Malaysian market. This initiative will strengthen the country’s digital competitiveness, solidifying its role in an AI-powered future.”
With this landmark investment, Microsoft is reinforcing its role as a key driver of Malaysia’s digital transformation, equipping businesses, entrepreneurs, and professionals with the tools needed to thrive in an increasingly AI-driven world.
For more details on the Malaysia West cloud region, visit: aka.ms/MalaysiaCloudRegionPlaybook.
