KUALA LUMPUR (Nov 12): The government is looking to strengthen reporting and notification requirements for data centre operators to ensure disruptions affecting digital infrastructure can be promptly communicated to the relevant authorities.

Digital Minister Gobind Singh Deo said a proper notification mechanism should specify the nature of the incident and measures, whether the problem could be resolved, and the sectors potentially affected. Such requirements are increasingly important as more industries and economic activities become reliant on data centre infrastructure and uninterrupted digital services, he added.

“If there is a flood that results in damage to the data centre and there is no mechanism today that requires the data centre to notify anyone or an authority who can be notified. If you have an ecosystem where the entire country, or a substantial part of it, is reliant and dependent on data centres, and there are problems, you need to start thinking of how you govern infrastructure,” he told reporters after the launch of the National AI Readiness Week 2026, here Thursday.

Gobind said the Data Centre Task Force (DCTF), co-chaired by him and Minister of Investment, Trade and Industry Datuk Seri Johari Abdul Ghani, was also examining challenges arising from the industry’s rapid expansion. He said the government was also exploring ways to encourage data centre investors to develop supporting energy and water supply infrastructure to meet the industry’s growing requirements.

He stated that recent investment announcements by Google went beyond data centre development to include efforts to build the supporting ecosystem in Malaysia. “So if we are going to look at substantial demands and requirements for energy as we go ahead, we are also starting a discussion around whether you can look at these companies building energy supplies to run the data centres, and also water supplies to do the same,” he said.

Commenting on Malaysia’s 27th place among 70 countries in the IMD World Digital Competitiveness-related AI ranking, he said the focus should now shift towards ensuring investments in AI infrastructure generate tangible economic benefits. “Ultimately, the question is whether or not we can see returns on those investments,” he added.

Uploaded by Liza Shireen Koshy