Source: AFP
Microsoft pledged a $2.2 billion investment in artificial intelligence and cloud computing in Malaysia on Thursday to help develop the country’s AI infrastructure.
The tech giant’s CEO Satya Nadella is on a three-nation tour of Southeast Asia — Indonesia, Thailand and Malaysia — to announce a series of investments in data centers, artificial intelligence and cloud services.
“Today, Microsoft announced it will invest $2.2 billion over the next four years to support Malaysia’s digital transformation — the largest investment in its 32-year history in the country,” it said in a statement released as Nadella gave a keynote speech in Kuala Lumpur.
It said the cash will help build AI and cloud infrastructure in Malaysia, creating an AI center of excellence and giving AI training to up to 200,000 Malaysians.
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“We are committed to supporting Malaysia’s AI transformation and ensuring that it benefits all Malaysians,” Nadella said in the statement.
“Our investments in digital infrastructure and skills will help Malaysian businesses, communities and developers apply the latest technology to drive inclusive economic growth and innovation across the country.”
He also confirmed the investment in his keynote speech, saying he was “really happy” to announce the expansion.
“We really want to make sure that we have world-class infrastructure here in the country so that every organization, every software developer, every start-up can use it to really create not just for this country, but for the world. and the region,” he told the crowd.
The commitment comes after it announced a $1.7 billion investment in Indonesia as well as Thailand’s first data center region this week to boost its cloud and artificial intelligence infrastructure.
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Research by global consultancy Kearney showed artificial intelligence was poised to contribute $1 trillion to Southeast Asia’s gross domestic product by 2030, with Malaysia projected to see more than a tenth of that, the statement said.
“Microsoft’s deployment of key cloud and AI infrastructure, along with AI skills opportunities, will significantly boost Malaysia’s digital capability,” Malaysian Trade Minister Zafrul Abdul Aziz said in the statement.
Microsoft began operations in Malaysia in 1992, according to its official website, and now employs more than 200 people in offices in Kuala Lumpur and the northern state of Penang.
The company has been rewarded handsomely by investors since it aggressively pushed the development of genetic artificial intelligence, starting with its $13 billion 2023 partnership with ChatGPT creator OpenAI.
Nadella said last week that January-March sales rose 17 percent year-on-year to $61.9 billion, with net profit up 20 percent to $21.9 billion.
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Embracing artificial intelligence has boosted sales of Microsoft’s core cloud services, such as Azure, which have become the core of its business under Nadella’s leadership.
Source: AFP