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Hello reader,
Singapore and Malaysia have a complex relationship – which I frequently experience first hand.
Some of this is harmless rivalry (who has the better food?) But much of it is also driven by Singaporeans’ misplaced sense of superiority. At a friend’s wedding in Kuala Lumpur recently, I kept rolling my eyes at some Singaporean guests who repeatedly reminded their Malaysian counterparts that one Singapore dollar was worth three ringgit.
Singapore’s Sea is putting some of those Singapore dollars to good use with its investments in a mega warehouse and data center in Malaysia, as my colleague, Emmanuel, analyzes in this week’s featured story.
This is part of a trend of data center firms establishing their campuses in Southeast Asian countries that offer lower operating costs and are outside of more developed and expensive markets like Hong Kong and Singapore.
Yet, as Emmanuel discovers, Sea may face the same hurdles that other tech giants, such as Microsoft, have. Despite announcing the building of a data center in Johor in 2014, the US firm’s project has yet to be completed.
As Singaporeans, we may view such delays as “typical Malaysia,” a country not exactly known for its efficiency.
But we should instead hope for the best: that Sea’s investments pay off and it invests even more in Malaysia going forward. After all, we are two close neighbors that share a common history, culture, and destiny, with deep friendships and family relationships on both sides.
— Simon
THE BIG STORY
Image credit: Timmy Loen
Sea Group enters choppy waters with latest Malaysia deals
The tech titan’s ambitious plans have been panned by Malaysian analysts and former bureaucrats.
3 Trends to keep an eye on
Hot stocks, earnings reports, restructuring, pressure from activist investors, and more.
2 Eye-popping facts
The one you didn’t see coming
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