Nvidia, YTL Power Launch Malaysia’s First AI Data Centre in Johor
Malaysia has launched its first Nvidia-powered AI data centre in Johor, developed by YTL Power International Bhd in partnership with Nvidia Corporation. The facility features Nvidia’s latest liquid-cooled NVL72 Grace Blackwell GB 200 GPUs and is situated within the 600MW YTL Green Data Center Park in Kulai, Johor. This state-of-the-art data centre forms a key part of Malaysia’s sovereign AI strategy, marking a significant milestone in the country’s AI development initiatives. The project represents approximately 22 months of progress since Prime Minister Datuk Seri Anwar Ibrahim and Nvidia CEO Jensen Huang first met to discuss Malaysia’s AI future in December 2023.
The AI data centre is supported by renewable energy from an on-site 500MW solar power plant and is designed to support extensive, high-performance AI and machine learning workloads. It operates on a 1,640-acre site, strategically located near major network interconnection points in the region, positioning Malaysia as an attractive hub for AI infrastructure development. The YTL AI Cloud hosted here aims to provide government and citizen-facing AI services, backed by one of the world’s most advanced supercomputers powered by Nvidia’s Blackwell architecture. This infrastructure is central to Malaysia’s goal to become a leading AI nation by 2030.
Malaysia has made significant strides in building its sovereign AI capabilities beyond just infrastructure. The country established the National AI Office under the Digital Ministry in December 2024 and launched ILMU, its first large language model, at the ASEAN AI Summit in August 2025. These developments demonstrate Malaysia’s commitment to developing domestically-owned and controlled AI technologies rather than relying solely on foreign solutions. The sovereign AI approach ensures data security and creates a trusted AI ecosystem for citizens and government services.
The announcement followed a meeting during the APEC Leaders Economic Summit 2025 in Gyeongju, South Korea, attended by Malaysia’s Prime Minister Datuk Seri Anwar Ibrahim, Nvidia’s CEO Jensen Huang, YTL Power’s Managing Director Datuk Seri Yeoh Seok Hong, and Minister of Investment, Trade, and Industry Tengku Datuk Seri Zafrul Abdul Aziz. The timing and location of this announcement highlight Malaysia’s positioning as a significant player in Asia’s AI landscape. Government support has been instrumental in enabling this rapid advancement of AI infrastructure, with supportive policy frameworks accelerating project development timelines.
The government has allocated RM5.9 billion under the 2026 budget to develop Malaysia’s AI sector, positioning the nation as a regional hub for AI innovation and data centre excellence. This substantial investment underscores Malaysia’s unwavering commitment to AI leadership and reflects the strategic importance placed on digital transformation. The investment includes initiatives to accelerate AI adoption in manufacturing and related industries, aiming to enhance productivity, competitiveness, and global relevance for Malaysian businesses. By integrating AI across key economic sectors, Malaysia seeks to strengthen its position in the global digital economy.
YTL Power’s role extends beyond data centre infrastructure. The company operates within Malaysia’s growing digital infrastructure ecosystem, having launched Ryt Bank in August 2025 alongside Sea Ltd, positioning itself as Malaysia’s first AI-powered digital bank. This demonstrates the broader integration of AI across Malaysia’s economic sectors beyond traditional data centre operations. YTL Power also maintains significant international operations through subsidiaries including Wessex Water Limited in the United Kingdom and YTL PowerSeraya in Singapore, providing the company with global expertise and operational capabilities.
Following the announcement, YTL Power shares rose modestly on the Kuala Lumpur Stock Exchange, reflecting investor confidence in the company’s pivotal role in Malaysia’s digital transformation.
