PETALING JAYA: Telekom Malaysia Bhd (TM) and Nxera, the regional data centre arm of Singtel’s Digital InfraCo unit, held a groundbreaking ceremony today for their 64MW state-of-the-art, sustainable, hyper-connected, artificial intelligence-ready data centre campus in Iskandar Puteri, Johor
The groundbreaking comes one month after the announcement for a joint venture to develop data centres in Malaysia and uplift Johor’s digital hub status.
Digital Minister Gobind Singh Deo said, “This investment by TM and Nxera reinforces Malaysia’s position as the digital hub in Southeast Asia, further advancing the nation’s economic growth. Based on advance estimates, Malaysia’s economy expanded 5.8% in the second quarter of 2024, and such investments are in line with projections that Malaysia’s digital economy will contribute 25.5% to the nation’s GDP by the end of the year.
“The relationship between TM and Nxera expands to Malaysia and Singapore, with both nations being a good case study of a productive working partnership between two Asean member states.”
Johor Menteri Besar Datuk Onn Hafiz Ghazi said TM-Nxera’s upcoming data centre campus, located in Iskandar Puteri, holds particular significance as one of the Johor Singapore Special Economic Zone’s first investment projects.
This data centre campus, he added, will serve as a catalyst for economic growth and enable businesses to harness the power of cloud computing and AI.
“We hope this will set the stage to shape a vibrant business ecosystem where more high-tech and high-value content companies will be attracted to locate their operations within the special economic zone and give a further boost to Johor’s digital economy, said Onn Hafiz.
TM Group CEO Amar Huzaimi Md Deris said the facility exemplifies their commitment to fostering industry growth, driving innovation, and enhancing socio-economic development. “With support from the Federal Government, and Johor state agencies and authorities, we are confident that this AI-ready data centre will equip businesses with unparalleled computing power, AI capabilities, and other cutting-edge technologies.”
Meanwhile, Nxera and Singtel’s Digital InfraCo unit CEO Bill Chang said that as one of the largest investments in the Johor-Singapore Special Economic Zone, this state-of-the-art data centre campus is an integral part of their mission to empower digital economies and communities in the region while ensuring energy and water resources are deployed responsibly and efficiently.
Scheduled to begin commercial operations in 2026, the cloud-enabled Tier 3 data centre campus will use liquid cooling to handle higher power density AI workloads. The facility will be designed, built and certified to Leadership in Energy and Environmental Design standards, incorporating energy and water-efficient solutions to optimise the use of resources.
