May 2, 2024 (MLN): Microsoft on Thursday committed to investing $2.2 billion in artificial intelligence and cloud computing in Malaysia to support the development of the country's AI infrastructure, APP reported.
The tech giant's CEO Satya Nadella is on a trip to three Southeast Asian countries – Indonesia, Thailand and Malaysia – to announce wide-ranging investments in data centres, AI and cloud services.
In a statement issued during Mr Nadella's keynote speech in Kuala Lumpur, he said: “Microsoft today announced that it will invest $2.2 billion over the next four years to support Malaysia's digital transformation. “This is the largest investment in the country's 32-year history.” .
He said the funding will help build AI and cloud infrastructure in Malaysia, create an AI center of excellence and provide AI training to as many as 200,000 Malaysians.
“We are committed to supporting Malaysia's AI transformation and ensuring that it benefits all Malaysians,” Nadella said in a statement.
“Our investments in digital infrastructure and skills will help Malaysian businesses, communities and developers apply the latest technologies to drive inclusive economic growth and innovation across the country.”
He also acknowledged the investment in his keynote address, saying he was “really happy” to announce the expansion.
“We want to make sure we have world-class infrastructure in this country so that every organization, every software developer, every startup can use it to build not just for this country but for the world. and the area,” he told the crowd.
The pledge comes after he announced this week a $1.7 billion investment in Indonesia and Thailand's first data center regions to strengthen cloud and artificial intelligence infrastructure.
AI is expected to contribute $1 trillion to Southeast Asia's gross domestic product by 2030, with Malaysia expected to account for more than a tenth of that, according to a study by global consulting firm Kearney.
“Microsoft's development of essential cloud and AI infrastructure, along with opportunities to acquire AI skills, will significantly strengthen Malaysia's digital capabilities,” Malaysian Trade Minister Zafrul Abdul Aziz said in a statement. .
Microsoft started operations in Malaysia in 1992 and currently employs more than 200 people across its offices in Kuala Lumpur and northern Penang state, according to its official website.
The company has been aggressively deploying generative AI, starting with a $13 billion partnership with OpenAI, the creator of ChatGPT, in 2023, and has since reaped significant rewards from investors.
Nadella announced last week that sales for the January-March period rose 17% from a year earlier to $61.9 billion, and net income rose 20% to $21.9 billion.
The introduction of AI has boosted sales of Microsoft's key cloud services, such as Azure, which has become a core part of Microsoft's business under Nadella's leadership.
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