Google has announced that it will be spending $2 billion to build its first data centre and cloud region in Malaysia. It said that the investment will be the largest it has ever made in the country in the 13 years it has operated there and is being driven by the demand for artificial intelligence and cloud services.
People in the country and the wider region should experience better performance when using Google's services like Search, Maps, and Workspace. The infrastructure will also be able to provide services from companies and organisations across the public and private sectors.
Commenting on the news, Ruth Porat, President, CFO, and CIO at Alphabet and Google said:
“This investment builds on our partnership with the Government of Malaysia to advance its ‘Cloud First Policy,' including best-in-class cybersecurity standards.”
Meanwhile, YB Senator Tengku Datuk Seri Utama Zafrul Aziz, minister of investment, trade and industry, said:
“Google's $2 billion investment in Malaysia will significantly advance the digital ambitions outlined in our New Industrial Master Plan 2030.”
Aside from building infrastructure, Google said that it will be launching two AI literacy programs in the country for both students and educators to help fill in their skill gaps.
When these big tech giants invest in data centres around the world, we tend to hear about the economic benefits of their investment and that's the case here too. Google said that the investments and programs are expected to boost Malaysia's GDP by $3.2 billion and support a huge 26,500 jobs by 2030 - this doesn't mean these will be direct hires by Google, but rather this is the number of additional jobs that'll be created in the region as a result of the investment, such as those who will be building the data centre.
Google's announcement was made in the same month that Microsoft also decided to invest $2.2 billion in Malaysia. Microsoft also announced plans to invest in Indonesia and Thailand this year.
Source: CNBC | Image via Depositphotos.com
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