Prime Minister Anwar Ibrahim announced that SoftBank Group intends to allocate roughly $50 billion toward projects in Malaysia, a figure reported by Bloomberg. The investment locations include the city of Kuching in Sarawak as well as sites on the peninsula, identified after a video conference between Anwar and SoftBank chief Masayoshi Son earlier in the week.
According to the prime minister, the capital will be directed toward artificial intelligence, emerging technologies and the construction of data-center facilities. This aligns with Malaysia’s self-designated goal of becoming an "AI nation" by 2030, a target supported by a national AI action plan launched earlier this year to boost the country’s AI capabilities and infrastructure.
In a related development, SoftBank recently signed a framework agreement with Singapore-based ride-hailing firm Grab and Malaysia’s Petroleum Sarawak Berhad. The partnership will explore AI and digital-infrastructure projects in Sarawak, covering AI computing services and other advanced technologies, further embedding SoftBank’s presence in the region.
SoftBank is joining a wave of major technology investors. Google disclosed a $2 billion commitment in 2024 to build its first data centre and cloud region within Malaysia. Amazon Web Services outlined a $6.2 billion investment schedule extending through 2038, while Microsoft announced a $2.2 billion spend on cloud, AI infrastructure and additional digital initiatives.
Data-center activity in the country has already reached significant levels. The Malaysian Investment Development Authority reported that investments tied to data-center projects totaled 385.7 billion ringgit, equivalent to about $94 billion, between 2021 and the first half of 2026, underscoring rapid growth in the sector.
Collectively, these commitments suggest that Malaysia is positioning itself as a regional hub for AI and cloud services, attracting both Japanese and Western technology firms seeking to expand their infrastructure and service offerings across Southeast Asia.