- Equinix enters Malaysia with a $40 million data center investment which will bring new opportunities to local businesses as well as serve international companies in the region.
- The planned data center will be located in Johor the Malaysian capital, which is home to more than 2.5 million people and 15 kilometers from Singapore.
- Equinix also got the option of acquiring additional land in NTP to build a second facility to support Malaysia’s digital growth ambition.
American multinational company that specializes in Internet connection and data centers, Equinix announced its market entry into Malaysia with plans to build a new International Business ExchangeTM data center with an initial investment of approximately $40 million. The company had just recently disclosed another huge investment plan for UK digital infrastructure totaling £179 million.
Malaysia’s digital economy is expected to reach $34B
The new data center will be named JH1 and located in Johor, the Malaysian capital, which is home to more than 2.5 million people. Johor is 15 kilometers from Singapore and its location will allow the data center to meet excess demand from organizations in the city-state in addition to Malaysian domestic demand. According to the announcement, the multi-million investment is planned to begin operations in 2024. Jeremy Deutsch, President of Asia-Pacific at Equinix said;
« Establishing a presence in Johor strengthens Equinix’s leadership position in Asia-Pacific within a strategic market such as Malaysia, one of the most requested markets in Asia-Pacific by our global customers. I would like to express our gratitude to the Digital Investment Office (DIO), Invest Johor, and Tenaga Nasional Berhad (TNB) for their assistance and support. We look forward to deepening our collaboration through future expansion, maximizing local businesses’ digital growth potential with rich digital experiences and outcomes. »
Equinix wants to benefit from the potential of Malaysia’s digital economy, which is expected to be worth $34 billion by 2025 according to recent research. Local companies will use Equinix’s data center for international growth, while foreign investors will be able to develop their businesses in the local market. Equinix’s entry in Malaysia is in line with the MyDIGITAL initiative launched by the Malaysian Government. It aims to provide a blueprint for the country to advance the growth of digital products and services.
Possible expansion in the future
Equinix also secures the option of acquiring additional land in Johor Nusajaya Tech Park to build a second facility to support Malaysia’s digital growth ambition. Companies and multinationals operating in Malaysia will be able to access Platform Equinix to store and distribute large volumes of latency-sensitive data and applications closer to end users and local markets.
The JH1 data center will be a two-story facility providing 500 cabinets and 1,960 square meters of colocation space. Once it is completed, the new IBX data center in Johor will expand Equinix’s total global footprint of more than 245 data centers across 71 metros and 32 countries. Equinix’s 10,000+ customers will have more options to securely deploy, directly connect, and effectively scale their digital infrastructure in a fast-growing economy.