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Malaysia has rapidly emerged as Southeast Asia's fastest growing data center market. The country's existing data center power capacity stands at around 640 MW, with upcoming capacity projected to exceed 2.4 GW through new facility development accounting for more than 30% of the existing data center power capacity within the Southeast Asian market.
The primary hub for this growth is Cyberjaya, located within Malaysia's Multimedia Super Corridor (MSC). Cyberjaya is Malaysia's premier IT hub, with extremely low risks of natural disasters including earthquakes and tsunamis, and a stable public infrastructure. This makes it a reliable foundation for mission critical hosting workloads. Cyberjaya, Iskandar Puteri, and Sedenak dominate new capacity additions, accounting for around 80% of new build out in the country.
At the same time, a moratorium on new data centre projects in Singapore between 2019 and 2022 redirected hyperscaler expansion plans across the border into Malaysia predominantly in Johor and the Klang Valley, encompassing Kuala Lumpur and Cyberjaya. This has permanently elevated Malaysia's role as a regional infrastructure backbone.