Microsoft will launch its first cloud region in Malaysia with three data centers by mid-2025, almost a year after the company announced a $2.2B investment in the country spread across four years.
Microsoft said that the Malaysia West cloud region will be located in Greater Kuala Lumpur and is slated to go live in the second quarter of 2025.
Microsoft noted that it commissioned a study by research firm IDC called “Microsoft Cloud Dividend Snapshot” for Malaysia.
The study suggests that between now and 2028 Microsoft, its partners, and its cloud-using customers will together generate $10.9B in new revenues, driving investment in local economies and help create 37,575 new jobs. Of these new jobs, 5,700 will be skilled IT jobs, the company added.
The U.S. tech giant added that the new cloud region will meet local data residency requirements, ensuring that organizations can securely manage their data in line with government regulations.
Last year, Microsoft Chairman and CEO Satya Nadella was on a South Asia tour wherein he announced the company’s plans to boost cloud and AI infrastructure in Malaysia, Thailand and Indonesia.
Nadella’s visit to Southeast Asia last year came on the heels of Apple’s CEO Tim Cook’s visit to the region, as companies look to Asian nations other than China as new growth markets with potential places to expand operations amid rising geopolitical tensions.
On Thursday, Laurence Si, managing director of Microsoft Malaysia — on being asked at a press conference, that if Microsoft has faced any issues in exporting chips to Malaysia due to U.S. export control curbs — said, “at this point, everything is status quo for us. We do have a good relationship with all the various stakeholders. Everything that we intend to invest and go live with in our region, that continues to stay on track,” Reuters reported.