Oracle has announced plans to invest over US$6.5 billion in artificial intelligence (AI) and cloud computing services in Malaysia. This strategic move will see the creation of a new public cloud region, marking Oracle Cloud Infrastructure’s (OCI) 12th public cloud region in the Asia Pacific region.
The development will provide Oracle customers and partners in Malaysia with the opportunity to utilize advanced AI infrastructure and services, including the migration of mission-critical workloads to OCI. This investment is part of Oracle’s strategy to expand its presence in the cloud and offer innovative technology solutions to businesses in the region.
According to the announcement, the public cloud region will facilitate application modernization, data analysis and AI-driven innovation. Customers will have access to OCI Generative AI agents using retrieval augmented generation (RAG) capabilities, enhanced computing capabilities and the OCI supercluster, billed as the largest AI supercomputer in the cloud. The deployment will include up to 131,072 NVIDIA Blackwell GPUs, among other high-performance components.
A wide range of more than 150 services, including Oracle Autonomous Database, MySQL Database Service HeatWave, Oracle Cloud VMware Solution, OCI Kubernetes Engine and Oracle Fusion Cloud Applications Suite, will also be available. These offerings aim to provide comprehensive infrastructure, platform or software as a service (SaaS) solutions to customers in Malaysia.
Malaysia’s Minister of Investment, Trade and Industry, Senator YB Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, welcomed the investment, highlighting its importance in empowering local entities. He noted: “This investment will enable Malaysian entities, especially small and medium-sized enterprises, to have access to innovative and cutting-edge AI and cloud computing technologies to enhance their global competitiveness. » He added that Oracle’s expansion highlights Malaysia’s infrastructure readiness and its emerging role as a preferred destination for digital investments in Southeast Asia.
Garrett Ilg, Executive Vice President and General Manager for Japan and Asia Pacific at Oracle, reiterated Oracle’s commitment to Malaysia as a strategic regional hub. “Malaysia offers unique growth opportunities for organizations looking to accelerate their expansion with the latest digital technologies,” he noted.
Industry insights from Franco Chiam, vice president of cloud, data centers and future digital infrastructure at IDC, highlight the growing demand for data centers capable of supporting AI projects. He highlighted that the public cloud services market in Malaysia is expected to grow by 27.2% CAGR between 2022 and 2027, underscoring the country’s potential as a technology innovation hub in Southeast Asia.
The new cloud region, with its low-latency connections, aims to support local customers in data processing and application management, while complying with national data residency regulations. By providing OCI’s sovereign AI capabilities, Oracle aims to ensure its customers have increased control over the location and management of data, enabling aligned use of AI within digital sovereignty frameworks.
Dennis Ang, NVIDIA’s Senior Director for ASEAN and ANZ, highlighted the importance of Oracle’s establishment in Malaysia. “With the new Oracle Cloud Malaysia region, customers in Malaysia will benefit from local access to NVIDIA’s accelerated, secure and scalable platform for end-to-end AI development and deployment on OCI,” he said. -he declared.
