Google will invest $15 billion in Malaysia

Google allocated a large budget for its investment in Malaysia. The company will transfer $15 billion to data centers and cloud services in the country in 2027-2028. Therefore, the spending calendar covers two years, 2027 and 2028. Additionally, Alphabet Investment Director Ruth Porat made the announcement. Porat shared the announcement at an event in Kuala Lumpur.

Where to Invest in Google Malaysia?

Google will expand its existing computing campus at Elmina business park in Selangor state. It will also establish new facilities in Selangor and the neighboring state of Negeri Sembilan. Thus, the plan is spread across two states.

The area in Elmina was opened with a $2 billion investment project announced by the company in May 2024. Therefore, the Google Malaysia investment will be built on the existing campus. Part of the money will go to the water and electricity needs of data centers. In addition, efforts to train experts will also receive a share from the budget.

160 Million Dollars for Water Infrastructure

Google will also finance the construction of a water tank and treatment plant in Negeri Sembilan. The cost of the project is 160 million dollars. For this reason, water infrastructure stands out as a separate item within Google Malaysia investment. The facilities are aimed to provide 65 million liters of drinking water per day to the data center and nearby settlements.

According to Google's calculations, the construction of the campuses will support more than 37,000 jobs in Malaysia each year. Moreover, it will contribute approximately 1.1 billion dollars to the country's economy. Once the facilities are put into operation, it is expected to provide employment to more than 9 thousand people. On the other hand, different figures are given for the construction period and the operation period.

Why is Malaysia Attractive?

The country has become one of Southeast Asia's major data center bases thanks to relatively low costs, developed infrastructure and proximity to Singapore. As a matter of fact, Oracle, Amazon, Alibaba and ByteDance are also expanding their presence here. The total announced capacity of the planned facilities exceeds 6 GW. Therefore, the region is becoming an area that companies closely monitor.

On the other hand, such giant projects also increase the pressure on local resources. In India, for example, Google's $15 billion data center sparked protests over water supply concerns. On the Indonesian island of Batam, residents complained of water shortages during the expansion of these facilities.

That's why Google has included financing of water infrastructure in Malaysia in its investment plan. In addition, the Google Malaysia investment will be implemented in 2027-2028 with a budget of 15 billion dollars.