Tech giant Microsoft has announced it will establish the first data centre region in Kuala Lumpur.

On Monday, the Malaysian prime minister said the company would invest $1 billion in the country over the next five years.

The new data centre region will have access to the full Microsoft Cloud, including Microsoft Azure, Microsoft 365, and Dynamics 365 and Power Platform.

The initiative includes a commitment to skill an additional one million Malaysians by the end of 2023, collaboration across public and private sectors, as well as formation of a MyDigital Alliance Leadership Council.

Research from International Data Corporation (IDC), found that Microsoft’s investment would help generate up to $4.6 billion in new revenues over the next four years.

“As we cement the Microsoft partnership today, I hope this is just the first green shoots of a broader meadow of investments in Malaysia, for Microsoft and other data players,” said YAB Tan Sri Muhyiddin Yassin, prime minister of Malaysia. “This significant investment from Microsoft further fortifies Malaysia’s position as a potential regional data hub and we stand ever ready to welcome more such partners as we work with our stakeholders to continually improve Malaysia’s value proposition in this big data space.”

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