This May, Google announced plans to invest US$2 billion in building its first data centre and Google Cloud region in the country. This is the largest commitment Google has made since its 13 years of operation in Malaysia.

What is driving this massive commitment? The answer lies in the skyrocketing demand for Artificial Intelligence (AI). According to the statement, this plan aims to provide the infrastructure and support the growing AI demand, as an increasing volume of data is needed to train AI models.

In today’s data-driven world, storage solutions are ever evolving. Global tech giants are pioneering data center technologies to handle the increasing demands of data usage. For example, Microsoft’s Project Natick – an underwater data center prototype, Keppel Data Centres’s developing Floating Data Center Park. All these share common goals in data management: Quality, Speed, Security, and Sustainability.

So, What It Really Means for Malaysia?

In fact, Google is not the first to recognise Malaysia’s potential. Earlier this year, Microsoft also made its own investment in new AI infrastructure in the country. According to their announcement, its investment is to develop Malaysia as a “hub for cloud computing and related advanced technologies, including generative AI”.

Now, with Google’s recent investment, it is another big vote of confidence in Malaysia’s future as a central player in the global tech industry. After all, Google and Microsoft are the global leaders in data centre security. The fact that they chose Malaysia to locate their data centres marks the country’s abilities to host a world-class data centre. This is likely to further encourage the others to invest in Malaysia too, which is great news for the digital goals outlined in the New Industrial Master Plan 2030 (NIMP 2030). As we gear up for the wave of AI, these investments pave the way for Malaysia to become a frontrunner in embracing and leveraging AI technologies for the future.

Conclusion: Getting Ready for the Wave of Artificial Intelligence (AI)

Innovation starts with imagination, so do potential risks. With Artificial Intelligence (AI) on the horizon, some risks are no longer mere imagination; they have become solid realities. For example, the issues of AI and intellectual property rights, deepfake technology, etc. Companies are beginning to ponder the potential threats, sustainability issues and many other questions:

• How should we define data when the majority of it is generated by AI?
• Who should owns the AI data?
• What aspects of data centers and the current data management should we prioritise?

Furthermore, addressing the challenges posed by AI requires new regulations for better control. To overcome these challenges, we must once again use our imagination to find solutions, such as whether or not we should put the data centre under or on the water surface, just like what Microsoft did.