More and more data center operators are moving into Malaysia to meet rising demands for faster processing speeds, according to the Malaysia Internet Exchange (MyIX).
In recent months, we have seen Microsoft, Vertiv, AIMS Data Centre, G3 Global and PCCW make advancements in the Malaysia data center market.
“More international connectivity and a robust domestic backbone would continue to attract sizeable investments into Malaysia,” said Chiew Kok Hin, the chairman of MyIX.
The trend for more data centers is due to higher local demand against the backdrop of improvements in cross-border data flow regulations, he said.
“It only makes sense for our country to continue capitalising on our strategic geographical location, ease of access and relatively lower cost of entry,” Mr. Chiew added.
More international companies are joining MyIX, including Huawei, Hong Kong’s Aofei Data International, US-based Hurricane Electric and Subspace Communications.
Malaysia’s MYNIC, Excel Commerce Solutions, NKH Solution, ICORE Technology, and AVM Cloud have also joined the Exchange, bringing the number of MyIX members up to 117 organisations.
Recently, MyIX opened the exchange for enterprises to directly peer with each other in order to keep local traffic in the country.
“Our Multi-Lateral Peering Arrangements (MLPA) support the open policy of interconnection with all MyIX members so as to improve the efficiency of routing and general connectivity of the internet,” said Mr. Chiew.
The Exchange achieves this by automating peering for open networks by providing route servers for participants to exchange routing information with multiple peers
“Although we have significantly improved the presence of local traffic in MyIX, there is still substantial local traffic from the enterprise segment that goes via international path before re-routed back to Malaysia,” said Mr. Chiew.
Mr. Chiew recently applauded Malaysia’s Ministry of Transport as ‘unsung heroes’ for enabling the country’s Internet infrastructure by making exemptions for foreign vessels to perform maintenance on subsea fibre optic cables.
“MoT’s ongoing commitment is very reassuring for foreign players investing in our country’s internet backbone, and this includes subsea cables,” said Mr. Chiew.
A new subsea cable is set to be introduced into Malaysia by OLL and NEC by the third quarter of 2022.
MyIX registered peak internet traffic of 670Gps, higher than the 588Gbps in April during the Movement Control Order introduced to reduce COVID-19 infection rates.
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