- Aims to support the president’s push to change M ‘sia , into modern commercial hub
- Through collaborations between universities in Singapore and Singapore, and M’sia, JV will help to develop data center skills.
TM and Nxera, the local information center arm of Singtel’s Digital InfraCo system, held a pioneering service for their information centre school in Iskandar Puteri, Johor. One month later, a shared venture was announced to create data centers in Malaysia and improve Johor’s reputation as a modern hub.
This 64MW state-of-the-art, green, hyper-connected, AI-ready data centre school supports Malaysia’s high-quality modern facilities. It also supports the administration’s efforts to generate the modern economy and change the country into a hub for business growth, AI development, and innovation.
Malaysia’s Digital secretary, Gobind Singh Deo, said,” This expenditure by TM and Nxera supports Malaysia’s status as the modern hub in Southeast Asia, more advancing the nation’s economic growth. Based on advance estimates, Malaysia’s economy expanded by 5.8 % in the second quarter of 2024, and such investments are in line with projections that Malaysia’s digital economy will contribute 25.5 % to the nation’s GDP by the end of the year”.
He added that Malaysia and Singapore serve as a successful working relationship between two ASEAN member state, as well as the relationship between TM and Nxera.
Onn Hafiz Ghazi, kepada besar of Johor, said,” TM-Nxera’s future data centre school, located in Iskandar Puteri, holds particular value as one of the Johor-Singapore Special Economic Zone’s initial investment projects. We welcome the complete range of their purchase with respect to high-quality system, sustainability, as well as employment and skilling opportunities which supports our emphasis on talent development, clean technology, and green energy”.
This school at the data center will act as a motivator for financial growth and help firms harness the potential of AI and cloud computing. We hope that this will help create a vivid business ecosystem, where more high-tech and high-value content companies may be drawn to their locations within the exclusive economic zone, and provide Johor’s digital economy a boost, he continued.
However, older minister of State, Low Yen Ling, said,” Data facilities are essential enablers of our electronic market, powering our market’s data-driven needs. As technology advances, strong, next-generation electronic system like the TM-Nxera Data Centre will be essential to support AI progress and develop value creation. I look forward to the outcomes we can achieve through close collaboration as a result of today’s groundbreaking, which is a milestone in the deepening economic relations between Singapore and Malaysia.
Amar Huzaimi Md Deris, TM’s Group CEO, said,” Today marks a pivotal milestone in our journey to becoming a digital powerhouse as we break ground on this cutting-edge AI-ready data centre. This facility exemplifies our commitment to fostering industry growth, driving innovation, and enhancing socio-economic development. With support from the Federal Government, and Johor state agencies and authorities, we are confident that this AI-ready data centre will equip businesses with unparalleled computing power, AI capabilities, and other cutting-edge technologies. We are eager to set the stage for a future in which AI and data analytics create transformative solutions, transformative products, and advance both our country and the world.
This state-of-the-art data center campus, which is one of Nxera and Singtel’s largest investments in the Johor-Singapore Special Economic Zone, is a key component of our strategy to empower digital economies and communities in the region while making sure energy and water resources are used responsibly and effectively, said Bill Chang, CEO of Nxera and Singtel’s Digital InfraCo unit. It expands our regional data centre platform’s strategic presence in this fast-growing Asia region”.
Our campus will spur economic growth by assisting businesses that use AI and cloud computing to increase efficiency and accelerate their business transformation, with Malaysia embracing AI to drive competitiveness and innovation. Our investment is n’t just about the campus, it is about bringing benefits to the local economy through digitalisation, developing local talent, creating employment opportunities, and enhancing international connectivity”, he added.
This cloud-enabled Tier 3 data center campus, which is scheduled to start commercial operations in 2026, will use liquid cooling to support higher power density AI workloads. The facility will be designed, built, and certified to Leadership in Energy and Environmental Design standards, incorporating energy and water-efficient solutions to optimise the use of resources. This underscores the joint venture’s commitment to long-term sustainability goals. To support the new data centre campus, the joint venture plans to expand submarine cable connectivity, enabling a thriving and vibrant digital ecosystem.
Customers can seamlessly expand their infrastructure from the city-state and the rest of the region thanks to the data center campus, which is only 16 kilometers from Singapore. Further, the data centre can be scaled up to 200MW in response to market demand.
The joint venture will encourage collaborations between universities in Singapore and Malaysia in addition to creating new employment opportunities that are crucial for nation-building. It aims to create comprehensive courses with specialized curricula that will give students the necessary skills and knowledge to help Malaysia advance its growth goals. For communities and the region, this means superior country-to-country connectivity and a smarter, more resilient digital economy.
This joint venture is subject to approval from TM shareholders in the upcoming EGM, as announced in Bursa.