The Malaysian Government has announced a National Digital Infrastructure Plan (JENDELA) that will put an end to 3G networks in Malaysia and prepare the country for its transition to 5G.

Prime Minister Tan Sri Muhyiddin Yassin stated the decision to eliminate 3G networks is to “strengthen the coverage of 4G networks [in Malaysia], as well as establishing a solid foundation for 5G”. This will be completed stage-by-stage until the end of 2021.

The Malaysian Government has currently rolled out phase one of JENDELA. Goals to be achieved under phase one include expanding 4G broadband coverage from 91.8% to 96.9% in populated areas, and increasing broadband speed from 25Mbps to 35Mbps.

Phase two of JENDELA will focus on the East Malaysia states of Sabah and Sarawak, where internet coverage is significantly lower than states in West Malaysia. Under the plan, Sabah and Sarawak will be the biggest beneficiaries: existing communication towers will be upgraded and hundreds of new communication transmitters will be installed.

Shortly after the Prime Minister’s announcement, Communications and Multimedia Minister, Saifuddin Abdullah, unveiled an Industrial Revolution 4.0 digital road map outlining the details of phase two. Said road map is scheduled to be released in mid-September.

However, a report by research firm CGS-CIMB revealed that 5G in Malaysia is expected to be deferred to 2022 due to ‘existing uncertainties in terms of how and over what timeframe [phase two] is to be achieved’ as well as the need to prioritise optimising speed and coverage of 4G networks.

Despite the delay, this marks the beginning of an exciting turn for Malaysia’s digital economy. Malaysia’s promise to switch off 3G and welcome 5G indicates a strong commitment to assist Malaysians in overcoming the demands of working from home in the midst of a pandemic. 

The rise of 5G in Malaysia could also mean a boom in cloud services, as applications may be more accessible by users across the country, which is only more good news to the country’s fast-growing digital economy.

5G may also enable more edge data center technologies by bringing lower latency, higher reliability and faster data processing that is closer to the user. This is particularly important, as Malaysia looks to be moving closer to the edge, with new projects announced by Bitglass, GDC and Vertiv this year.

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The multi-access edge computing market is set to grow at an incredible annual rate of 157.4%, generating US$7.23 billion by 2024, which dwarfs the 2019 revenue of US$64.1 million.

The edge computing solution from operators in wireless networks is expected to be utilised by 90% of industrial enterprises in the next three years, predicts Frost & Sullivan.

“The recent launch of the 5G technology coupled with MEC brings computing power close to customers and also allows the emergence of new applications and experiences for them,” said Renato Pasquini, the Research Director for Information & Communication Technologies at Frost & Sullivan.

While only being in its nascent stage, edge computing offers shorter latencies by being close to where the data originates, which also provides robust security, responsive data collection and lower operating costs.

This is particularly important in a world where industrial industries are becoming increasingly hyper-connected with growing adoption of the Internet of Things, smart factories, remote monitoring solutions, autonomous robotics and vehicles.

The demand for edge computing is also growing, as data-driven organisations and governments increasingly require significant streams of data for real-time analytics.

“Going forward, 5G and multi-access edge computing are an opportunity for telecom operators to launch innovative offerings and enable an ecosystem to flourish in the business-to-business segment of telecom service providers using the platform,” added Mr. Pasquini.

Within the multi-access edge computing ecosystem, software edge applications promises the highest annual growth, followed by telecom operators, infrastructure-as-a-service providers, and edge data center colocation services.

However, Frost & Sullivan identified a number of challenges restricting the growth of the market, including an underdeveloped ecosystem in different verticals, limiting the number of solutions and applications available.

The implementation of multi-access edge computing also requires heavy initial capital investment and lacks standardisation, which currently limits the number of cities that can adopt this technology.

How can you tap into the edge computing market?

The multi-access edge computing market is expected to drive new revenue-generating use cases, particularly for telcos in the application of 5G wireless technology, despite delays in the rollout of networks due to the COVID-19 pandemic.

To tap into this lucrative market, Frost & Sullivan made a number of suggestions. Telecom operators, for example, should work on solutions and services to meet requirements for connected and autonomous cars, which could include advancements in 5G technology.

In order to make this a reality, telecom operators are advised to partner with cloud providers and organisations like AWS, Microsoft Azure, Google Cloud, and IBM Cloud that work with artificial intelligence and machine learning to design autonomous cars and drone delivery. 

System integrators could also tap into 5G by providing end-to-end solutions, which the research firm noted would be a significant value addition for enterprises, as 5G requires specialised skill sets.

By combining 5G with new specialised hardware-based mobile edge computing technologies like edge routers and data centers, these solutions can meet the market’s streaming media needs, as telecom operators must address the rising consumption of high-definition video streaming on mobiles.

Frost & Sullivan urged companies in the space to capitalise on the innovation opportunities utilising 5G and multi-access edge computing, including augmented reality, virtual reality, ultra-high-definition streaming and cloud gaming.

Discover how to tap into the edge data center market with W.Media

Edge data centers are on the rise, driven by Industry 4.0 technology and Internet adoption. But which edge data center solutions are right for your business?

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In the Philippines, the relationship between the Telco industry and Cloud Computing is symbiotic. The Cloud Computing, Cybersecurity, and Datacenter landscape is intensifying with new entrants keen to establish their foothold in the market. Market optimism is at an all-time high, a signal that the Cloud ecosystem is on the precipice of accelerated growth.

The rising middle-class coupled with a local internet population of close to 70 million users indicates lasting growth in the Cloud sector. Individuals in the Philippines spend an average of 10 hours online (Source: Hootsuite, and WeareSocial Digital 2019 report), topping the global average. The pivot towards high speed connectivity promises to maximize this usage gap. A mix of open-source IT design, and robust competition will rapidly address the discrepancy between usage and infrastructure.

The structural core of this explosive growth in Cloud Computing are the twin pillars of  Cybersecurity, and Business Continuity Plans. Latency and data breaches threaten to drown positive market sentiment. In recognition of Cloud’s  growing dominance, W.Media will be extending its Cloud and Datacenter Convention series to the Philippines.

Cloud and Datacenter Market: Key Drivers in the Philippines

Philippines’ economic growth rate of 6.8%, overtakes China’s growth rate of 6.7% as of 2019 (Source : Government of the Philippines). The 30th ASEAN Summit which was held in the Philippines further affirmed the country’s journey to be the next Asia’s new economic powerhouse.

The BPO Industry is seen as a multi billion-dollar industry and is expected to double by 2020. Countries like the United States, Australia and the UK are among the largest users of BPO. Leveraging on its close cultural affinity to the West, the Philippines is renowned for its strong BPO industry, and is oftenly revered as the Outsourcing Destination of the World. Strong growth of BPOs in the Philippines is expected to drive further demand in data storage and computing demands. 

Cloud Computing Services in the Philippines and Data Privacy have been a highly contested topic.  Section 4 of the Data Privacy Act (DPA) provides that the “Act applies to the processing of all types of personal information and to any natural and juridical person involved in personal information processing including those personal information controllers and processors who, although not found or established in the Philippines, use equipment that are located in the Philippines.” As an inference, there is a need for cloud service providers to localize their datacenters in the Philippines. 

Keep watch – W.Media will commence its 2020 survey for the Philippines market in Q3.

Visit the Philippines Cloud and Datacenter Convention here.

The rise of Singapore in the Cloud Computing, and Datacenter sphere is remarkable, and startlingly impressive for a nation with limited land. Its position as a mature datacenter hub both lends it, industry regard as well as, motivates its regional counterparts to emerge as market contenders. To that end, Indonesia, and Malaysia have emerged as the most likely Cloud Computing and Datacenter competitors. Having led the industry in  APAC and the wider global region for over a decade, the market is pivoting towards greater efficiency, and sustainability. Its reliable power grid, coupled with skilled personnel have proved to be overwhelmingly attractive against space scarcity concerns.. As new entrants establish their presence in Singapore, they have innovated to adapt to the unique features of the market landscape.

The tight regulations in Singapore was fueled in part by the inherent design inefficiencies. The legal restrictions have resulted in a massive leap in sustainable design among key industry figures. Working in tandem with the magnified focus on Datacenters and efficiency, the central government’s dedication to Cloud Computing is unparalleled. The Services 4.0 plan detailed in IMDA’s digital services report 2018 (Infocomm Media Development Authority’s  Services and Digital Economy (SDE) Technology Roadmap 2018) is in full effect. With the nation’s characteristic flair for infrastructure roll-outs, Cloud Native Architecture remains the focal point of IMDA’s digital roadmap. The Financial Services Industry(FSI), Ecommerce, and Government’s technology stack are the key drivers of Cloud in the nation. The scalability benefits alone have proved enormously attractive and pushed these sectors into adopting Cloud service delivery models.

Cybersecurity sits at the very heart of a well-designed Cloud Architecture, user confidence in the infrastructure remains crucial to the continued adoption. 

Managed Services, Migrations and Expansions listed as key projects

W.Media’s 2019 survey received responses from 1200+ IT professionals in Singapore. As an overview, the key projects that respondents are intending to undertake include Managed Services (23%), Datacenter Migration and Expansion (40%), Private Cloud Deployment (11%) and Migration to Public or Hybrid cloud (11%), with most of them indicating to commence multiple projects at the same time. Challenges listed include Budgeting and unexpected cost (35%), Migration risks and integration issues (20%), Rightsizing/Projecting IT requirements (18%), Service Excellence of providers (14%) and IT Team’s familiarity with new deployment (10%). 

Keep watch – W.Media will commence its 2020 survey for the Singapore market in Q3.

Visit the Singpaore Cloud and Datacenter Convention here.

According to a study by Frost & Sullivan, global traffic between data centers will grow by 28% annually between 2018 and 2021, a higher growth rate than the traffic between data centers and the users, which is projected at 24%. This trend has been driven by CDNs and the need to disseminate large volumes of static content closer to the user, such as images and video. The ASEAN data center market is set to grow at a CAGR of 16.1% over the next 5 years. Emerging markets, Indonesia and Thailand, are expected to be key growth engines in ASEAN. 

This resonates with Thailand’s push for Industry 4.0 across multiple industries including manufacturing, logistics, tourism and more. The route to digital transformation by corporations in Thailand aims to cope with changing customer behavior and intense competition from global players. To support digitization, corporations will need to focus on building a strong and agile IT infrastructure, leading to the need for cutting edge strategy and technologies in cloud, data centers, and connectivity.

Just few months back, W.Media held its inaugural Cloud and Datacenter Convention in Thailand which brought together over 700 senior IT professionals. Industry experts highlighted Thailand as a strong contender to be the ICT hub for Indochina – find out more in the post event coverage via this link. 

Managed Services, Migrations and Expansions listed as key projects

W.Media’s 2019 survey received responses from 700+ IT professionals in Thailand. As an overview, the key projects that respondents are intending to undertake include Managed Services (23%), Datacenter Migration and Expansion (29%), Private Cloud Deployment (11%) and Migration to Public or Hybrid cloud (11%), with most of them indicating to commence multiple projects at the same time. Challenges listed include Budgeting and unexpected cost (34%), Migration risks and integration issues (25%), Rightsizing/Projecting IT requirements (16%), Service Excellence of providers (15%) and IT Team’s familiarity with new deployment (8%). 

Keep watch – W.Media will commence its 2020 survey for the Thailand market in Q4.

Visit the Thailand Cloud and Datacenter Convention here.

Malaysia’s Cloud and Datacenter landscape is primed to leap into the next phase of Cloud Computing. The rise of Artificial Intelligence (AI), coupled with its potential to revolutionize every step of the industrial, manufacturing and service delivery process, is driving this evolution. Even though AI is on the horizon with its presence working as a signal of the future dominance of Industry 4.0, uncertainties still exist. The question still lingers: Is Malaysia’s infrastructure ready?

The scalability opportunities from AI and the supporting Cloud infrastructure have inspired cloud migration. However, the mechanics of going from an on-prem to a cloud-based architecture requires a strategic plan of attack. Managed service providers are crucial to assist in what initially seems like an insurmountable task. Legacy datacenters are also reviewing their facilities to keep pace with Digital Transformation. This ecosystem of new entrants and established players are set to be in the forefront of a revolutionary industrial shift.

This new field of play comes with its own set of challenges, chiefly in securing consumer and industry confidence. The dual issues of Cybersecurity and Disaster Recovery are essential as latency is the overriding factor in sinking optimism around AI and subsequently, Industry 4.0. Cybersecurity has also been in scrutiny given the recent high profile attacks on major Malaysian organizations.

Astounding results deduced from Malaysia Cloud & Datacenter Convention 

From its pre-registration survey, out of the 800+ IT professionals in Malaysia who responded, majority were from the Financial Services industry (19.1%). Other industries include Telecommunications (17.6%), Cloud Service Providers (14.1%) and Government Agencies (10.2%). As an overview, the key projects that respondents are intending to undertake over the next 12 months include implementing Cybersecurity (27%), Datacenter Migration and Expansion (25%), Private Cloud Deployment (25%) and Migration to Public or Hybrid cloud (25%), with most of them indicating to commence multiple projects at the same time.

According to Malaysia’s mainstream news, The Star, many Malaysian companies reported a downtime of more than 24 hours due to cybersecurity breaches in 2019. It is reported that 26% of companies in Malaysia said that the most severe cybersecurity breaches in the last year has had a financial impact of more than US$1mil (RM4.11mil). As such, the MYCDC’s pre-registration survey results aligned with the news report, where many IT professionals recognise the need to address Cybersecurity in order to operate their business efficiently in the long term.

Experts will highlight best practices on Cybersecurity and Business Continuity Management 

 Apart from addressing the key concerns and challenges centred around Cybersecurity, IT and business leaders can look forward to understanding what makes the best Business Continuity Management plan – Hint: It is never just about having a plan.

 Due to unexpected crisis such as recent events like the US-China trade war and the Coronavirus, there were major disruptions in the global supply chain, and the importance of Business Continuity Management has never been more  emphasised. Business Continuity Management will be highlighted in MYCDC where we share how to better position your company in light of the recent crisis. How can technology play a part in the decision making process? How important is digitisation in the role of Business Continuity? Are you readily equipped to tackle crisis efficiently when it arises?

Keep watch – W.Media will commence its 2020 survey for the Malaysia market in Q3.

Visit the Malaysia Cloud and datacenter here.

Indonesia’s position as the largest economy in Southeast Asia has fueled its rise in the Cloud Computing, and Datacenter industry. Coupled with relatively low startup and operational costs, the country is rivaling traditional Cloud Computing, Cybersecurity, and Datacenter hubs.  Datacenters in Jakarta alone are set to witness a compound annual growth rate (CAGR) of 21.8% in the years 2019-2024 , the highest for any city in Southeast Asia (Cushman & Wakefield Datacenter Report 2019). 

The central government’s decision to enact and relax Data Sovereignty Laws, has served as a framework for the industry at large. Strict data localization laws, once created a regulatory structure that drove demand. However, the subsequent move to ease legal restrictions, and the continued robust demand, has reassured the major players in the industry. Fears of a market crash were quickly allayed. This flexibility and willingness to evolve makes Indonesia distinct from many of its closest competitors.  International heavyweights in public cloud such as Alibaba Cloud, Amazon Web Services (AWS), and Google Cloud have recognized this tremendous growth potential of the country and seized the chance to open datacenter operations within the country. 

Though  Cloud Computing expansion remains on an upward trajectory, power infrastructure is still an issue throughout the country. Latency arises as a major stumbling block to the massive Cloud Computing growth lying within reach. Additionally, Indonesia’s decision to shift its capital  opens the field up to a vast number of new entrants. The plan to move the administrative heart of the country to Borneo, presents an opportunity for businesses to work together with governmental organizations, and embark on Digital Transformation and Cloud Migration strategies. The degree of changes in Indonesia necessitates an in-depth analysis of the different strategic directions available for companies in the market. 

Keep watch – W.Media will commence its 2020 survey for the Indonesia market in Q3.

Visit the Indonesia Cloud and Datacenter Convention here.

Among ASEAN countries, Vietnam has increasingly proven itself to have one of the largest room for cloud adoption with the country’s rapid growth in Cloud expenditure. In 2018, Vietnam’s Cloud service market was valued at USD$165 million and it is projected to reach $291 million by 2024, exhibiting a double digit CAGR of 10% between 2019 and 2024.

According to APAC SMB Digital Maturity Index released in April 2019, 18% of Small and Medium-sized Businesses (SMBs) in Vietnam kickstarted their digital transformation journey through investing in Cloud Computing. Venturing into Cloud Computing enabled these companies to build large-scaled computing power, as well as to minimise technical requirements and physical storage. In addition, Cloud adoption has also equipped these SMBs with the appropriate technology to expand their IT infrastructure, which would have otherwise required a significant upfront capital investment. 

Following through a conversation with Mr Luong Huu Tuan, Co-founder of Vietnam Open Infrastructure Community, he highlighted that Vietnam’s Cloud market in in 2020 would be extremely exciting, with many interesting changes in the market to anticipate and new challenges to be tackled. For instance, the young talents in Vietnam’s IT industry are currently implementing a smart cloud platform for the digital transformation process in the country. With this move, we can expect Vietnam’s Cloud market to advance even further in the near future.

While local SMBs are moving towards cloud adoption and digital transformation, these are not without challenges. Based on APAC SMB Digital Maturity Index, local respondents indicated these areas that they lack of which deters them from cloud adoption: Digital Skills and Talent (17%), Insights into Operational and Customer Data (17%), Robust IT platform (9%). However, the Vietnamese government has stepped up and is taking measures to tackle these challenges that the locals face, which has greatly aided the decision of SMBs to adopt digitalization. For example, most of the respondents are aware of the government’s initiatives to support SMBs in digitalization and at least 64% had benefitted from them.

 Moving forward with the navigation and growth of Vietnam’s digital businesses, W.Media will be bringing back the largest Vietnam Cloud & Datacenter Convention to Ho Chi Minh on 27th August 2020. It is the one and only inclusive event where end-users, operators, system integrators, consultants & engineers are able to meet and connect. Our conference agenda would help to tap on key progresses, best practices, concerns and the future of cloud and data centre innovations. 

Keep watch – W.Media will commence its 2020 survey for the Vietnam market in Q3.

Visit the Vietnam Cloud and Datacenter Convention.