BANGKOK: US chip giant Nvidia signed a partnership with Thai tech company SIAM.AI on Wednesday to build the country’s first “sovereign cloud”.

The deal was announced during a visit to Bangkok by Nvidia’s Jensen Huang, CEO and founder of the leading semiconductor design business, during which he agreed to support the development of artificial intelligence in Thailand.

A “sovereign cloud” is the idea that a country, region or community will have control over its data -- where it is stored, how it is accessed, who oversees it.

Huang said that the data stored on Thailand’s sovereign cloud server could be used to power a local “AI ecosystem”, such as a generative AI chatbot fed by Thai data.

It came after Huang said Tuesday that it would work with the Thai government to develop “world-class AI infrastructure” in the kingdom.

On Wednesday, Huang added that Nvidia would partner with 40 Thai universities and over 50 startups so that local schools and enterprises “will have access to Thai AI”.

“The data of Thailand... it belongs to the Thai people... It is your natural resource,“ he said.

According to data company OpenDataSoft, the sovereignty of the digital cloud “does a better job of protecting national interests by limiting third-party access to sensitive information”.

Huang said the sovereign cloud could also be applied in Thailand’s healthcare, agriculture, energy, digital and telecom sectors.

Nvidia, which makes specialised computer chips used for training AI models, has surpassed Apple to become the highest-valued company in the world.

SIAM.AI is a cloud platform that offers virtual servers and data storage. Its chief executive Ratanaphon Wongnapachant is reportedly related to former prime minister Thaksin Shinawatra, who made an appearance at the event.

Last year, then-prime minister Srettha Thavisin made a major push for investment from US tech giants during a trip to New York.

Thailand is Southeast Asia’s second-largest economy, but its tech sector has lagged behind Singapore and Indonesia.