Telekom Malaysia, Nxera forge alliance to establish sustainable, AI-ready data centre campus in Johor

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Azunta Gaviola

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9 months ago

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Malaysia – Telekom Malaysia, a telecommunications firm, has recently announced that it has partnered with data centre operator Nxera to establish data centres in Malaysia. This move aims to embark on a sustainable, hyper-connected artificial intelligence (AI)-ready data centre campus in Johor.

In a statement provided by the alliance, the two expressed their intention to serve the needs of hyperscalers, next-generation AI application providers, and enterprises pursuing accelerated digitalisation and cloud computing in the region. 

According to them, the joint venture also represents a unique proposition, strengthened by the extensive subsea cable networks of TM and Singtel’s Digital InfraCo, which provide global connectivity and enhanced network performance with lower latency and improved reliability.

Moreover, the data centre campus will adhere to the latest standards in reliability, security, and sustainability, providing optimal local and international connectivity. As it is situated near subsea cable links connecting Singapore and Malaysia, the two have also revealed that the data centre will be well-placed to support the increasing demand for digitalisation and development initiatives in both countries. 

The initial phase of the data center is planned for 64 megawatt (MW) and can be scaled up to 200 MW in response to market demand. This high-power density campus will be able to host large computing and AI capabilities, such as those required by cloud hyperscalers and GPU-as-a-service providers and feature advanced technologies such as liquid cooling to support high-power density workloads and operations efficiently.

In addition, the data centre will also be a leader in energy and environmental design (LEED)-certified green buildings to further highlight its commitment to greater energy efficiency and sustainable practices.

Talking about the endeavour, Amar Huzaimi Md Deris, chief executive officer at Telekom Malaysia, said, “Establishing a hyper-connected AI-ready data centre marks the next phase in our long-standing partnership with Singtel, leveraging our strengths and commitment to elevate ASEAN as the preferred digital hub destination.”

“TM brings the largest domestic network infrastructure, extensive international subsea cable systems, and the largest interconnected data centre in Malaysia, a solid backbone for this project,” he added.

Meanwhile, Bill Chang, chief executive officer at Nxera and Singtel’s Digital InfraCo unit, expressed his excitement for this venture, stating, “Through this partnership, TM continues to demonstrate its dedication to delivering innovative and sustainable solutions, marking a pivotal step in our aspiration to become a digital powerhouse by 2030.”

He further adds, “This collaboration advances our vision to be the region’s leading sustainable, hyperconnected AI-ready data centre platform, supporting businesses with the digital infrastructure needed for the growing demand for cloud, digitalization, and AI.” 

“With our joint industry expertise and strong track record, we will build and operate one of the most efficient, sustainable, and connectivity-rich data centres in Malaysia,” he said.

“Our joint venture will also partner institutes of higher learning in Malaysia to nurture talent for our projects and the industry. Our strategy of developing data center sites with close proximity to our operations in Singapore allow us to capture spill-over demand from our customers and help them scale their business with confidence,” concluded Bill.

Be part of the forefront of innovation and reshape the future of retail and e-commerce! Making its highly anticipated return, MARKETECH APAC and UpTech Media partners for the Retail & E-Commerce Innovation Marketing & Tech Summit Philippines 2025, happening on 25 June 2025 at Shangri-La The Fort, Manila. Don’t miss out!

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