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Google Investing in Malaysia with $2B Cloud Hub Data Centre

Analyst Team trader
Updated 30 May 2024

In a strategic move that marks a significant expansion of its global infrastructure, Google has announced a $2 billion investment to build its first ever data centre and a dedicated Google Cloud hub in Malaysia. This move by the tech giant demonstrates a keen interest in the Southeast Asian markets, which are rapidly growing and offer a plethora of opportunities for technological advancements.

The upcoming data centre and Google Cloud region will be situated in Selangor state, nestled in the heart of Malaysia. This strategic location will address the increasing demand for cloud services and data management in the region.


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Furthermore, the development is expected to serve as a catalyst for economic growth in Malaysia, with predictions indicating a multiplier impact on the economy of approximately $3.2 billion. In addition, the initiative is projected to generate 26,500 jobs by the year 2030, therefore contributing significantly to the nation's job market.

Google is not only investing in infrastructure but is also committed to fostering local talent and expertise. As part of this initiative, Google intends to support efforts to upscale Malaysians through various programs, particularly those centered around enhancing artificial intelligence literacy. This is an indication of Google's long-term dedication to developing the technological framework and skills of the local workforce.

The investment announcement was further underscored by statements from Ruth Porat, CFO of Alphabet—Google's parent company. Porat specifically mentioned that this venture aligns seamlessly with Malaysia's ‘Cloud First Policy' and the country's established cybersecurity guidelines. Compliance with these policies not only fortifies the partnership but also ensures that the services provided will be secure and efficient, adhering to the highest standards.

Moreover, the establishment of a data center in Malaysia positions the country prominently on the global tech map. Malaysia will become the 12th nation worldwide to host a Google data center, joining an elite network of locations that power the internet giant's extensive array of products and services.

Google's investment in Malaysia is a significant move that will enhance the company's service capabilities and coverage in Southeast Asia. With the dual aims of fostering economic growth and developing local talent, this initiative is poised to deliver substantial benefits to Malaysia while reinforcing Google's position as a global leader in technology services and cloud computing.

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The AskTraders Analyst Team features experts in technical and fundamental analysis, as well as traders specializing in stocks, forex, and cryptocurrency.