Gabriel Budi Sutrisno · · 2 min readMicrosoft to invest $2.2b for Malaysia’s AI infrastructure
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Microsoft CEO Satya Nadella has added another pledge during his whirlwind Southeast Asia tour. Just a few days after announcing a US$1.7 billion commitment in Indonesia, the tech giant has committed US$2.2 billion for Malaysia’s AI infrastructure, reported Bloomberg.
Similar to its Indonesia pledge, this would mark Microsoft’s largest single investment in Malaysia. Part of its strategy is to offer AI education to 200,000 Malaysians, with the southern region of Johor expected to become an AI hub.
Microsoft has also announced that it will launch a regional data center in Thailand. The company aims to provide AI training to 2.5 million individuals across Southeast Asia.
Amid US tensions with China, Southeast Asia has increasingly become a focus for American tech companies. Last month, Apple CEO Tim Cook made a similar trip to the region, announcing investments in Singapore, Indonesia, and Vietnam.
Chipmaker Nvidia also recently announced a US$200 million co-investment in an Indonesian AI center amid a wider push in Southeast Asia. In addition, the company plans to set up an AI center in Singapore and a pilot manufacturing plant in Malaysia, as well as expand its partnership with Vietnamese tech firms.
Consulting firm Kearney expects AI to boost Southeast Asia’s economy by US$1 trillion by 2030. Of this, Malaysia could gain nearly US$115 billion, while Indonesia could capture US$366 billion.
See also: Exclusive: SEA crucial to GitHub’s growth strategy, CEO says
Editing by Putra Muskita and Lorenzo Kyle Subido
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