IT is 2025, and all eyes have been on the Mobile World Congress in Barcelona. At every corner of the show floor, it was clear that 5G and AI had moved well beyond buzzwords – they are fuelling an unprecedented wave of innovation that is reshaping entire industries and forging new ones.
However, the most intriguing story may not be unfolding in Silicon Valley or Shenzhen – it is happening across Asean, and Malaysia is emerging as a surprise gateway to this rapidly transforming region.
In fact, 5G has moved well beyond its infancy. Around the world, mission-critical ultra-reliable low-latency communications (URLLC), immersive enhanced mobile broadband and massive machine-type communications, typically used in internet of things (IoT) applications, are becoming everyday realities.
Private 5G networks are expanding in manufacturing, logistics, healthcare and energy. Service providers are pairing edge computing with 5G for on-site real-time analytics, substantially reducing bandwidth needs.
Network slicing and virtualisation allow 5G to adapt dynamically to the needs of each industry.
On the AI front, we see dramatic strides in generative AI, multimodal intelligence, edge computing and responsible AI governance.
Large language models now work alongside vision–language systems and advanced reinforcement learning solutions, orchestrating complex tasks in real time.
Sustainability is also at the forefront – reducing AI’s carbon footprint and ensuring privacy, fairness and transparency.
Major leaps in edge AI and federated learning allow data to be processed on devices or local nodes, improving response times while safeguarding user privacy. This is especially vital in the 5G era, where countless sensors generate continuous data.
Swarms of factory robots or autonomous vehicles can now collectively train AI models without sending raw data to distant clouds, all within milliseconds, thanks to 5G’s high-speed, low-latency connections. That is the amazing 5G-AI synergy unfolding in 2025.
Take, for example, a “5G/AI Synergy
Matrix” linking 10 global 5G trends to six key
AI developments – ranging from predictive analytics and maintenance to computer vision, natural language processing, robotics, anomaly detection, and Edge AI and federated learning.
Each cell highlights how AI and 5G can elegantly “tango” together in real-world deployments. While 5G provides the necessary bandwidth, reliability and scale, AI adds predictive intelligence, learning and automation. In tandem, they are pushing
the boundaries of what connectivity and computation can achieve.
Asean’s digital ecosystem
Asean – home to more than 680 million people, 65% of whom are under 35 – has embraced 5G and AI to modernise public services, encourage economic growth and compete globally.
This youthful demographic fuels the demand for connectivity and innovation, prompting many governments to prioritise 5G and AI to drive economic growth, modernise public services and boost global competitiveness.
A “5G/AI synergy matrix” tailored to the Asean context reveals real or pilot applications across port operations, manufacturing, public services and healthcare.
Each cell shows how a specific 5G application uses AI to address regional challenges in port operations, manufacturing, public services and healthcare – all are critical sectors given Asean’s geographic diversity and rapid growth.
These use cases highlight the practical impact of 5G + AI across Asean, not just in industrial IoT or robotics, but also in everyday life. They can help close gaps in healthcare, agriculture, education and more.
Recurring themes in this matrix include the shift towards Industry 4.0 and automation as well as extensive use in service-oriented sectors.
Furthermore, these examples underscore a broader trend: public-private collaborations – telecom operators, government agencies and industrial giants – are a critical driver of digital transformation.
Malaysia’s active neutrality and strategic position
Asean members are all forging unique AI-5G paths. Singapore stands out with its extensive initiatives across government, telecom and private sectors – a testament to its advanced high-tech ecosystem, strong policy support, deep innovation culture and vast talent pool.
However, Malaysia, Thailand, Vietnam, Indonesia and the Philippines are rapidly advancing, piloting 5G-AI applications in manufacturing, logistics, healthcare and smart city management, signalling strong momentum in their digital transformation efforts.
Yet, in this diverse landscape, Malaysia stands out for its doctrine of “active neutrality”. Working with Eastern and Western powers, the country attracts diversified investments and fosters technology transfer while preserving strategic autonomy. This balanced strategy positions Malaysia as an important hub for innovation and collaboration in the region.
A success story is Johor’s data centre
boom. Catalysed by Singapore’s data centre moratorium in 2019, Johor has become a prime alternative for global cloud providers, backed by sustainable energy strategies and advanced cooling solutions. These data centres deliver the computational muscle behind AI and manage the data flow demanded by next-generation
5G services.
On the connectivity side, Malaysia shifted from a single wholesale network to a more competitive dual wholesale network model. With a multioperator ecosystem, firms can test solutions across different networks in secure facilities, creating a vibrant digital market that encourages carriers to innovate while safeguarding core infrastructure for industrial IoT. Commercial successes already include agritech, healthcare and manufacturing. Importantly, these are not isolated pilot projects.
Malaysia’s strategy establishes an ecosystem of testbeds, regulatory sandboxes and venture funding that helps prototypes evolve into full-fledged, market-ready products.
Programmes like the National Technology and Innovation Sandbox by Technology Innovation Park Malaysia (TiPM) has accelerated over 160 tech startups through access to prototyping labs, mentorship and “first big customer” collaborations with government-linked companies.
TiPM’s leadership in orchestrating Malaysia’s tech-driven ecosystem includes a dedicated AI Sandbox with global partners like Nvidia, training over 90 SMEs to integrate AI.
Moreover, TiPM is driving 5G adoption by establishing Malaysia’s first technology park, with 100% 5G coverage, allowing enterprises in Dronetech, Agritech/Biotech and Healthtech
to test solutions in real-world settings. Collaborations with major telcos showcase practical use cases such as 5G-enabled smart poles, safety drones and robotics.
Malaysia’s “active neutrality” extends to facilitating partnerships between American cloud giants and Chinese open-source AI labs.
By offering regulatory support and advanced 5G infrastructure, the country attracts a wide array of investors looking to commercialise AI solutions for the 680-million-strong Asean market. This approach fosters healthy competition, multiple technology options and diversified capital inflows – minimising reliance on any single power bloc.
Road ahead
Moving forward, Asean will continue accelerating 5G roll-outs, boosting AI adoption and driving digital transformation across the government and the private sector. Key priorities include:
Continued AI-5G integration: Further melding connectivity with intelligence for advanced use cases like real-time robotics, immersive virtual reality and autonomous vehicles.
Sustainability as a core driver: Ensuring greener data centre operations, reduced AI carbon footprints and better resource management.
Education reform: Training a new generation of AI engineers, data scientists and 5G specialists to sustain growth.
Cross-border collaboration: Establishing shared 5G testbeds and AI standards, encouraging knowledge exchange among Asean telecom operators, governments and industries.
Malaysia invites global telecom operators, AI startups, cloud providers, venture capitalists and research and development institutions to collaborate in this new frontier. Its strategic advantages include:
Prime location and market access: Proximity to a massive, young consumer base.
Active neutrality: Attracting investments from multiple global power centres.
Data infrastructure readiness: Expanded facilities in Johor, Penang and Kuala Lumpur support AI at scale.
Strong government and policy support: MyDigital, TiPM, the National AI Office and other entities driving robust innovation ecosystems.
Whether the goal is to test new 5G–AI solutions in Industry 4.0, pioneer sustainable data centre strategies or co-develop quantum-ready security frameworks, Malaysia stands ready as a strategic partner for Asean and beyond.
As the region continues to shape the future of connectivity and intelligence, this is a clarion call for meaningful partnerships, fresh ideas and bold actions that will propel Asean and the world into a new era of progress.
Dr Rais Hussin is CEO of Technology Innovation Park Malaysia. Comments: letters@thesundaily.com
