Malaysian artificial intelligence company G3 Global Berhad announced its plan to build the largest hyperscale data center in the country.
The hyperscale data center will be located in an AI park at Bukit Jalil, Malaysia’s administrative center.
Through the group’s association with Green Packet, which has a 32% share in G3 Global, the data center will support Tencent Cloud’s initial demands as part of its global node, said Dr. James Tee, G3 Global Executive Director.
Green Packet signed a 10-year agreement with Tencent Cloud in August to provide cloud computing solutions in Malaysia.
“The hyperscale data centre will be scaled according to demand progressively,” Dr. Tee told The Star.
“G3 Global is in discussions with domestic and regional hyperscale data center partners on potential collaborations. They are also open to collaborating with strategic partners who bring demand from their extensive network and user base,” he added.
G3 Global has joined forces with SenseTime and China Harbour Engineering Company to jointly develop the data center in the Bukit Jalil AI park.
The data center market size in Malaysia is expected to experience a 12.9% annual growth by 2024, according to Cushman and Wakefield.
“Some of the very powerful value drivers that companies should look to exploit from hyperscale cloud platforms are cost, scalability and interoperability. The hyperscale platforms provide the ability to handle immense volumes of activity and data, quickly and seamlessly,” said Dr. Tee.
“In addition, the hyperscale provider’s cloud platform allows customers to extend and build out their capabilities, as well as offers integration with other systems at a lower cost, ” he added.
For the first phase of its development, G3 Global company will start with three 10 MW hyperscale data centers. The AI park will also feature autonomous cars, among other AI technology such as licence plate and facial recognition.
Malaysia’s data center potential
Despite Singapore being a major hub for data centers in Southeast Asia, Dr Tee noted that when it comes to land and power supply Malaysia has significant advantages compared to its neighbour Singapore.
Malaysia’s close proximity to Singapore, abundant land, and low connectivity cost makes the country well positioned to capture more of Southeast Asia’s data center market demand, Dr. Tee believes.
The national bank of Malaysia, Bank Negara’s Risk Management in Technology (RMiT) will also have a positive impact on data center demand in the country. The policy outlines regulations that Malaysian financial services have to follow to minimise cyber risk exposure and ensure reliability and resiliency.