Google will invest $15 billion in Malaysia to build new data center campuses, the company said in its Nov. 4 announcement. The two-year program runs through 2027 and 2028 and expands on the $2 billion the company committed in 2024. It follows Baxtel's Nov. 2 report on Google's $160 million commitment to shared
Featured: Landscape view showcasing Google's data center campus infrastructure and buildings in Malaysia.water infrastructure in Negeri Sembilan.
The new campuses go in Selangor and Negeri Sembilan, alongside Google's first Malaysian facility at Elmina Business Park in Selangor, which is already operational. Reuters, via CNA, reports the spending covers data center campuses, clean energy, water security and worker training.
Google develops and operates the campuses. It will pay for 100 percent of the power they use and the direct infrastructure costs required to connect them to the grid. The company says it will add more than 1 gigawatt of clean energy capacity to Malaysia's national grid, and it designed the Malaysian sites to run at a power usage effectiveness of 1.12 to 1.14.
During construction, Google expects the campuses to add an average of $1.1 billion a year to Malaysia's gross domestic product and to support more than 37,000 local jobs annually. Once operational, the company projects more than 9,000 permanent jobs paying about 45 percent above the national median wage. Google also announced four programs to train 800,000 Malaysians over five years.
"This investment aligns with Malaysia's development priorities, providing the foundational computing capacity to deliver the upside of innovation across the country while adding local power and water resources as our operations scale," said Ruth Porat, president and chief investment officer at Alphabet and Google.
Malaysia holds more than half of the data center capacity under construction in Southeast Asia, according to the market intelligence firm DC Byte. The deputy prime minister told Parliament in July that data centers could absorb one-third of the country's energy consumption by 2035, and the government has said it will approve projects only after confirming adequate energy and water supply. In October, Malaysia approved a requirement for data centers to source at least 30 percent of their power from renewable energy.
The pledge covers the same Negeri Sembilan buildout that Google's water commitment supports. The company bought 389 acres at Port Dickson, about 90 kilometers south of Kuala Lumpur, according to Data Center Dynamics. Gamuda will build the water treatment plant and reservoir Google funded, and both transfer to the Negeri Sembilan state body MBINS on completion.
Baxtel tracks 200 data center facilities in Malaysia operated by 69 providers, with Bridge Data Centres the largest provider at 11 sites and YTL's JDC1 the largest facility at 72 MW.
Related on Baxtel