SoftBank may invest $50 billion in Malaysia's AI and data centres, PM says

what happened

Malaysia's prime minister said SoftBank Group chairman Masayoshi Son is preparing about $50 billion of investment in artificial intelligence and technology in the country. Speaking at a government event in the state of Melaka on Saturday, he said Son had chosen Kuching in Sarawak and Peninsular Malaysia for the spending during a video call last week, calling it the largest outlay of its kind in the region.

Dow Jones Newswires reports that a SoftBank spokesperson, replying by email, confirmed the firm is working with the Malaysian government and other parties to look at opportunities in AI and digital infrastructure. Earlier this month, SoftBank signed a framework accord with ride-hailing company Grab and state-owned oil and gas firm Petroleum Sarawak to study an AI and digital infrastructure platform in Sarawak.

why it matters

Malaysia has become a key hub for data centre and AI projects in Southeast Asia, helped by relatively low power costs, available land, a strategic location and expanding digital infrastructure. Large technology companies, including Microsoft, Google and ByteDance, have announced major regional investments in recent years, much of it to build computing capacity for AI systems. If these plans proceed, they would add to electricity and data centre demand in the region and draw investor attention to firms tied to AI infrastructure.

market impact

SoftBank Group, Grab: planned AI and data-centre spending in Malaysia supports regional power and digital infrastructure demand

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