Trace Data Research

  Malaysia’s data center market is evolving from a Singapore spillover to a primary build destination . Strong hyperscaler commitments (AWS, Microsoft, Google), Johor’s hyperscale campuses , and cross-border collaboration with Singapore are driving multi-gigawatt pipelines. The flip side: higher electricity tariffs , tightening permits , and the need for credible renewable energy (RE) strategies . From 2025–2030 , expect steady capacity additions anchored in Johor and Klang Valley , with pricing shaped by power costs and RE procurement .   Why Malaysia Is Surging Now Cloud-first demand : In-country cloud regions reduce latency and meet data-residency needs. Campus-ready land + power : Johor offers large, contiguous parcels suited to AI-era densities. Network & interconnect depth : Klang Valley/Cyberjaya remains the enterprise and peering core. Policy momentum : Cross-border SEZ collaboration, digital infrastructure incentives, and gri...

  Malaysia Data Center Market Overview The Malaysia Data Center Market has emerged as one of the fastest-growing digital infrastructure hubs in Southeast Asia. Strategic location, competitive costs, and strong government support have positioned the country as a preferred destination for both hyperscale and enterprise data center investments. In 2024, the market was valued at USD 4.04 billion and is projected to reach USD 13.57 billion by 2030, growing at a CAGR of 22.38%. This growth is driven by increasing cloud adoption, expansion of AI workloads, and Malaysia’s role as a cost-effective alternative to Singapore. Current Capacity & Pipeline Development The Malaysian data center landscape is expanding rapidly: Operational Capacity (2025): Approximately 1,260 MW across 46 active facilities. Pipeline Capacity: Expected to approach 5 GW by the end of 2025. Key Hubs: Johor – Emerging as the hyperscale capital due to proximity to Singapore, lar...