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Malaysia is experiencing a surge in data center development, with Telekom Malaysia (TM) and Nxera, the regional data center division of Singtel's Digital InfraCo unit, teaming up to build data centers in the country.

The first project will be a hyperscale AI-ready data center campus in Johor, initially supporting 64 MW of capacity, with the potential to expand to 200 MW.

The facility will be a LEED-certified green building and will cater to the needs of cloud hyperscalers and GPU-as-a-Service (GPUaaS) providers, featuring technologies like liquid cooling for high-power density workloads.

This certification ensures high standards of environmental sustainability and energy efficiency, leading to reduced operational costs and a healthier working environment. Moreover, liquid cooling enhances efficiency, reduces energy consumption, supports high-performance computing, and optimizes space, making the facility both eco-friendly and highly capable of meeting the demanding needs of the technology sector.

Located in Iskandar Puteri, 16 km from Singapore, the campus will benefit from close access to subsea cable links between the two countries, making it the largest project for both TM and Nxera.

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This partnership combines Nxera's regional data center expertise with TM's network infrastructure and experience in providing data, connectivity, and platform solutions. Customers at the Johor data center will have access to Singtel's Paragon cloud orchestration platform and GPUaaS, allowing them to manage AI workloads across multiple networks and clouds.

Nxera is also developing new data centers in Southeast Asia, with plans to increase total capacity to over 200 MW in the region in the next three years.

In tandem, TM, with seven data centers in Malaysia, is part of the Asia Link Cable Systems (ALC) subsea cable project, which intends to boost international capacity at its Johor data centers.

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Malaysia, like other countries in Southeast Asia, is aggressively pursuing data center projects to support digital transformation goals, with Johor Bahru identified as the fastest-growing data center market in the region.

The country has approved significant investments in data centers and cloud services, reflecting the growing demand in the region.

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