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Malaysia is moving forward with plans to establish a national cloud policy and introduce regulatory frameworks aimed at promoting the ethical use of artificial intelligence (AI). This development comes as global technology companies are making significant investments in the country to meet the rising demand for cloud and AI services.

The national cloud policy, which is set to focus on enhancing public service efficiency, boosting economic competitiveness, fortifying data security, and promoting digital inclusivity, is a key component of the government’s broader digital agenda. The policy will also work towards empowering citizens through increased digital access while ensuring robust data protection measures are in place.

As part of the broader initiative, Malaysia will establish a national AI office tasked with coordinating AI-related projects. This office will also be responsible for finalizing a five-year technology action plan aimed at fostering AI innovation and implementing a regulatory framework to ensure the ethical and sustainable development of AI technologies. These efforts are intended to encourage the adoption of AI solutions across various sectors, positioning the country as a key player in the global AI ecosystem.

The government is aiming to position Malaysia as a regional hub for generative AI, with support from global technology partners. This vision is being reinforced by substantial investments from international companies, including Google’s recent commitment to building a $2 billion data center and cloud region in Malaysia. The facility is expected to play a pivotal role in strengthening the country’s digital infrastructure, enhancing its capacity to meet the growing demand for cloud services and AI solutions.

Google’s investment in Malaysia is projected to create thousands of jobs and contribute billions to the country’s economy over the next decade. The development is part of a broader trend of global technology firms expanding their presence in Southeast Asia, a region known for its young, tech-savvy population and increasing demand for digital services.

In addition to the Malaysia investment, Google has also announced plans to invest $1 billion in a new data center and cloud region in Thailand, further solidifying its commitment to Southeast Asia as a key growth market for cloud and AI services. The region, with its population of 670 million, is viewed as a critical area for future technological expansion, as global companies compete to provide advanced digital infrastructure and services.