When operational, the Johor Bahru region will deliver Microsoft’s cloud services, supporting complex workloads and diverse customer needs across the region.
The Southeast Asia 3 region will join Microsoft Azure’s network of more than 70 global regions.
Earlier this year, Microsoft launched the Malaysia West cloud region in Greater Kuala Lumpur, helping firms accelerate their AI adoption.
The Johor-based cloud region will incorporate sustainable design features, including renewable biofuel-powered generators, water-efficient closed-loop cooling systems and zero-water evaporation for cooling.
Meanwhile, the technology giant, who is speaking on the ‘Deep Dive: Energy Resilience & Sustainability in Asia’s Data Centres’ at ITW Asia 2025, announced it is also working with local partners to install rainwater harvesting systems in 42 Johor schools, benefiting 20,000 people and saving 8.4 million litres annually.
Malaysia’s Minister of Digital, YB Gobind Singh Deo, said: “This milestone underscores Malaysia’s continued progress in the digital economy. We are pleased to collaborate with the industry and Microsoft as a trusted technology partner in building Malaysia’s leadership as a secure and reliable location for digital assets of organisations across the region.”
Microsoft Commercial Organisation CEO, Judson Althoff, added: “Southeast Asia is one of the most dynamic regions in the world. Our expanded investment reflects Microsoft’s commitment to helping governments, businesses, and communities innovate responsibly, build with confidence, and accelerate their AI Transformation journey- empowering organisations to emerge as Frontier firms.”
Meanwhile, the company is also investing in AI skills through the AIForMYFuture program, which aims to equip 800,000 Malaysians with AI skills by 2025.
Microsoft Malaysia managing director, Laurence Si, continued: “As a trusted technology partner to Malaysia for over 33 years, Microsoft is committed to empowering the nation’s workforce with the skills needed to thrive in the AI economy. Through AIForMYFuture, we are working with the government, industry, and communities to ensure every Malaysian is equipped with the skills to thrive in the AI economy.
“Additionally, the upcoming Southeast Asia 3 cloud region reinforces Microsoft’s continued commitment to deliver secure, resilient, and scalable cloud services that will accelerate innovation and strengthen Malaysia’s position as a regional digital leader,” he added.
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