Home Retailing E-Commerce Equinix Malaysia Budget 2026 Commentary

Equinix Malaysia Budget 2026 Commentary

Cheam Tat Inn, Managing Director Equinix Malaysia

Malaysia’s Budget 2026 demonstrates strong national intent to future-proof the economy with digital infrastructure and advanced technologies at the core. We welcome the government’s forward-looking allocations such as the RM2 billion investment to develop the Sovereign AI Cloud by the Malaysian Communications and Multimedia Commission (MCMC) and the MADANI Submarine Cable System (SALAM), which will enhance nationwide connectivity. These initiatives will not only strengthen the nation’s digital foundations but also accelerate innovation across industries.

The continued prioritization of investments in AI and digital connectivity through initiatives like SALAM, the Sovereign AI Cloud, and talent development allocation for AI and semiconductor sectors through the RM650 million Skills Development Fund Corporation (SDFC) is especially critical, as enterprises require both cutting-edge infrastructure and highly skilled talent to compete globally. By coupling digital infrastructure with talent development and AI-focused initiatives, Malaysia is laying the groundwork to become a true regional hub for technology and interconnection.

At Equinix, our mission is to power the world’s digital leaders with trusted and globally interconnected infrastructure in a sustainable manner. Through our recent investment in Johor and Kuala Lumpur, as well as our ongoing expansion across Asia-Pacific, we are enabling Malaysia to access the same AI-ready, cloud-connected ecosystems as other leading economies. Our data centers are also ready to support sovereign cloud requirements, ensuring that data sovereignty and AI innovation can coexist securely and efficiently. These ecosystems will help business innovate, scale, and grow sustainably.

This Budget also reinforces Malaysia’s attractiveness to global investors. By placing digital infrastructure, AI, and sustainability at the heart of national planning, Malaysia is positioning itself as a critical node in Southeast Asia’s digital economy. This emphasis is timely, as global investors seek resilient supply chains and AI-ready ecosystems in the region. As the world’s digital infrastructure company, Equinix stands ready to partner with the government, academia, and industry to ensure that these ambitions translate into tangible opportunities for businesses and communities alike.

We strive to continue supporting Malaysia in shaping a resilient, inclusive, and sustainable digital future.

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