Google outlines US$15 billion Malaysia data centre investment plan
The company projects more than 9,000 local jobs a year once the facilities operate, with average wages 45 per cent above the national median.
Google has announced plans to spend US$15 billion on data centres and other infrastructure in Malaysia in 2027–2028. The planned investment builds on the US$2 billion commitment it announced in 2024.
The company said its proposed data centre complex in a Malaysian industrial area would prioritise energy efficiency. Google also pledged to improve local water resilience and contribute more than one gigawatt of clean-energy capacity to Malaysia’s national grid.
Once the facilities begin operating, Google expects them to support more than 9,000 local jobs each year. It put projected average wages at 45 per cent above the national median.
Malaysia represents more than half of the data centre capacity under construction across Southeast Asia, according to market intelligence company DC Byte. The International Monetary Fund expects Malaysia’s economy to grow by 5.2 per cent in 2026, with data centre construction among the supporting factors.
The expansion also brings demand for electricity and cooling water. AI data centres require large amounts of power, putting pressure on Malaysia’s electricity network, which remains reliant on fossil fuels.
Malaysia’s deputy prime minister said in July that data centres were expected to consume one-third of the country’s energy by 2035. The government says approval for data centre projects will depend on first confirming that sufficient energy and water supplies are available.
