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AWS Is Planning To Build Data Centres In Malaysia

Amazon Web Services (AWS) is likely to make significant investments in Malaysia this year to establish data centres across the country.

AWS Is Planning To Build Data Centres In Malaysia

In March, AWS and the Malaysian government inked a Cloud Framework Agreement (CFA), giving government agencies and ministries access to AWS Cloud services.

According to the Ministry of International Trade and Industry, Amazon Web Services (AWS) is likely to make significant investments in Malaysia this year to establish data centres (MITI). The government has already given AWS authorisation to invest in Malaysia as a data hub, according to Senior Minister of International Trade and Industry Mohamed Azmin Ali.

However, Azmin noted that they had not completed negotiations. AWS is still in talks with MITI, the Malaysian Investment Development Authority (MIDA), and the Ministry of Finance about many new incentives (MoF). The minister explained that they are optimistic that the negotiations will be completed soon because this investment is critical for Malaysia’s digital technology transition.

AWS and the Malaysian government inked a Cloud Framework Agreement (CFA) in March, giving government agencies and ministries access to AWS Cloud services in any of the company’s 84 Availability Zones across the world. The government also inked a CFA with Amazon Web Services, Microsoft, Google Cloud, and Telekom Malaysia to power the MyGovCloud cloud computing service.

In a related development, Azmin met with Microsoft personnel to discuss the company’s “Bersama Malaysia Microsoft” initiative’s success. He stated that about 500,000 local workers had been trained, with the goal of training over one million by next year. Microsoft plans to invest US$1 billion (RM4.4 billion) in Malaysia’s first Azure data centre region over the next five years.

Both Microsoft and AWS, according to the minister, are willing to contribute to the government’s efforts to improve the country’s digital economic competitiveness. Malaysia appears to be attracting foreign investments from renowned tech businesses of late, with Foxconn, the world’s largest electronics manufacturer, recently announcing plans to build a chip manufacturing unit.

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