According to Prime Minister Anwar Ibrahim, SoftBank's investments will focus on artificial intelligence, new technologies, and data centers, with specific locations identified in Kuching, Sarawak, and peninsular Malaysia.
This initiative aligns with Malaysia's goal of becoming an 'AI nation' by 2030, as the government has already launched a national AI action plan to enhance its capabilities and infrastructure. SoftBank's commitment follows a recent framework agreement with Grab and Petroleum Sarawak Berhad to develop AI and digital infrastructure in Sarawak.
The investment landscape in Malaysia is becoming increasingly competitive, with significant commitments from other tech giants such as Google, which plans a $2 billion investment for a data center in 2024, Amazon Web Services with a $6.2 billion investment through 2038, and Microsoft with a $2.2 billion investment in cloud and AI infrastructure.
The Malaysian Investment Development Authority reported that the country has attracted 385.7 billion ringgit (approximately $94 billion) in data center-related investments from 2021 to mid-2026, indicating a robust growth trajectory in the tech sector. SoftBank has not yet commented on this development