Can Malaysia keep data stored securely at home?

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Microsoft to Establish First Data Centre Region in Malaysia, Enhancing Local Data Security and Cloud Services

Microsoft Corporation has announced plans to establish its inaugural data centre region in Malaysia, a development that will enable the delivery of trusted cloud services locally with enhanced data security, privacy controls, and the capability for in-country data storage. This initiative is part of Microsoft's broader US$1 billion investment in Malaysia over the next five years, which also includes a commitment to upskill one million Malaysians by 2023. The new data centre region, situated in Greater Kuala Lumpur, will provide access to Microsoft Azure, Microsoft 365, Dynamics 365, and the Power Platform, aligning with Microsoft's global sustainability objectives, including a target of 100% renewable energy usage by 2025.
Enhanced Local Cloud Service Delivery

The establishment of a dedicated data centre region in Malaysia signifies a significant step towards providing Malaysian businesses and government agencies with direct access to advanced cloud services. Previously, Microsoft was appointed to supply cloud services to Malaysian public sector entities through 2023. This new infrastructure will ensure that data can be stored and processed within Malaysia, addressing concerns related to data sovereignty and compliance, while offering world-class data security and privacy standards. The region will feature Azure Availability Zones, which are designed to provide increased resilience for highly available applications.
Substantial Investment and Digital Skilling Commitment

Microsoft's commitment to Malaysia extends beyond infrastructure development, with a substantial investment of US$1 billion (RM4.12 billion) earmarked over the next five years. A significant component of this investment is dedicated to the construction and setup of the data centre region itself. Concurrently, Microsoft has pledged to upskill one million Malaysians by 2023, a critical initiative aimed at equipping the local workforce with the digital skills necessary to thrive in an increasingly digital economy. This skilling effort involves partnerships with various organisations, including the Human Resources Development Fund (HRDF) and TalentCorp Malaysia.
Strategic Partnerships and Government Digitalisation Efforts

The Bersama Malaysia initiative underscores Microsoft's commitment to collaborating with the Malaysian government, startups, and enterprises to accelerate the nation's digital transformation. Key partners in this endeavour include the Social and Economic Research Initiative (SERI), MyDigital, Petroliam Nasional Berhad (Petronas), and Celcom Axiata Berhad. This public-private collaboration is seen as vital for propelling Malaysia's digital economy forward. The Malaysian government itself plans to migrate 80% of its data to the cloud by the end of 2022, demonstrating a strong governmental push towards cloud adoption and data-driven insights to improve public sector services.

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