KUALA LUMPUR (May 16): American-based hyperscale data centre provider Vantage Data Centers announced plans to build the second data centre campus in Cyberjaya with a total investment value of US$3 billion (RM13.32 billion).

In the memorandum of understanding (MOU) signing ceremony between Cyberview Sdn Bhd, the tech hub developer of Cyberjaya, and Vantage on Tuesday (May 16), Cyberview acting managing director Mohd Hafiz Ibrahim said: “It has been 26 years (since 1997) since Cyberjaya opened. As the tech developer of Cyberjaya, Cyberview has been cognisant of the key components (that includes foreign direct investments and so on) in driving growth and innovation.”

“Since our announcement of the new masterplan in 2020 to position the city as a preferred tech investment location, we continue to strengthen the ecosystem and support the tech companies and innovators who have made Cyberjaya their home,” said Hafiz, adding that Cyberview is also embracing emerging technologies such as artificial intelligence (AI) and 5G.

“The volume of data generated is expected to grow further with the data centres, which is becoming an increasingly important infrastructure,” Hafiz asserted. "The demand for data centres is set to grow exponentially in the coming years, and it has been a trend in the last five years.”

He added that the agreement with Vantage marks an important milestone for Cyberjaya and sets the stage for the city as an ideal location for hyperscale data centre providers. “Currently, 90% of colocation providers in Malaysia are based in Cyberjaya, leveraging our world-class infrastructure with dark fibre connectivity.”

Meanwhile, Vantage APAC chief operating officer Giles Proctor said: “We have been expanding our footprint in Malaysia since we entered into the dynamic APAC market. Our positive experience in Cyberjaya has encouraged us to take further steps to advance the city's digital infrastructure by building our largest hyperscale campus in the region.”

The company is currently in the final stages of acquiring a 35-acre plot in Cyberjaya to develop a data centre mega campus, named KUL2, which will consist of 10 data centres with 256MW of IT capacity across 2.75 million sq ft once it is fully developed.

“The company is also expanding its first campus with a fourth 16MW facility that is currently under development. Combined, both campuses will deliver a total of 287MW of IT capacity to meet the demands of hyperscalers, cloud providers and large enterprises,” Proctor noted.

In the same event, Cyberview also signed an MOU with Leave a Nest Malaysia (LVNS), a subsidiary of a Japan-based science venture company.

“Our collaboration with Leave a Nest Malaysia will also reinforce the culture of innovation that we are fostering in the city. This partnership will not only benefit the start-up community but will also contribute to the growth and development of the entire technology and innovation ecosystem,” said Hafiz.

LVNS group chief executive officer Yukihiro Maru commented that the company has been building a deep tech ecosystem in Malaysia with the support and collaboration from government, local corporations, universities and the ecosystem players.

“Cyberview is one of the agencies that's always supporting our initiatives. Through this MOU signing, we hope to strengthen the collaboration with Cyberview to make Cyberjaya the hub of innovation not only for Malaysian start-ups, but also to bring more global start-ups within the Leave a Nest networks to be based here in Cyberjaya, and accelerate their regional expansion from Malaysia,” said Maru.

With support from Cyberview and 18 local players, including multinational companies from various sectors and government agencies, LVNS aims to generate RM100 million in economic impact through its development programmes. It will include several signature initiatives in Cyberjaya, such as the Center of Garage Malaysia, a knowledge-based tech development initiative that is aimed at supporting start-ups in Malaysia as well as the region.

Communications and Digital Minister Fahmi Fadzil, who witnessed the signing ceremony, said: “With Cyberjaya leading the way as a top choice for data centre investments in the country, Malaysia's tech industry is set for a bright future. As demand for connectivity and digital services continues to rise, data centres will play an increasingly critical role in powering our digital economy. In addition to strong infrastructure, a thriving ecosystem of innovation will be a key enabler of growth in this rapidly evolving industry.”