Microsoft Increasing Presence in Southeast Asia With Substantial AI Investments in Thailand and Malaysia

By Trisha Andrada

May 02, 2024 03:22 AM EDT

Microsoft CEO Satya Nadella delivers a speech during an event named Microsoft Build AI Day in Jakarta on April 30, 2024.
(Photo : ADEK BERRY/AFP via Getty Images)

Microsoft CEO Satya Nadella announced major commitments in Thailand and Malaysia and other projects to increase its presence in Southeast Asia while advancing its artificial intelligence (AI) technology.

With the announcement of additional regional data centers in Indonesia and Malaysia in 2021, Microsoft has been increasing its presence in the region. The data center for Southeast Asia is located in Singapore at the moment.

Microsoft Plans to Establish New Data Center in Thailand

CNBC reports that the company did not disclose how much it would spend, but it did state that a new data center would encourage local developers and provide AI skills training to more than 100,000 individuals in Thailand.

In his statement on Wednesday, May 1, Nadella said that Thailand "has an incredible opportunity to build a digital-first, AI-powered future." He went on to say that the investments would make a difference and boost development in both the public and commercial sectors of Thailand.

Microsoft said Thai enterprises are increasingly using cloud computing services, and the business' pledge would help the nation capitalize on AI-driven economic and productivity benefits.

READ NEXT: Microsoft Urges to Invest $1.7 Billion to Develop AI, Cloud Infrastructure in Indonesia

Microsoft Pledges $2.2 Billion in Malaysia

According to Reuters, Microsoft also announced a $2.2 billion investment over four years in Malaysia to boost cloud and AI services. The investment will go towards developing cloud and AI infrastructure, providing an opportunity for 200,000 individuals to acquire AI skills, and offering assistance to Malaysian developers, among other things.

"We want to make sure we have world-class infrastructure right here in the country so that every organization and start-up can benefit," Nadella said while in Kuala Lumpur.

The tech giant added that it would collaborate with the government of Malaysia to strengthen cybersecurity and create a national AI Centre of Excellence.

READ MORE: Microsoft's Investment in OpenAI Was Sparked by Fears of Google's AI Dominance: Report

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